Email marketing is another tool that you as a small business owner can use to help aid in your customer acquisition process. Before we dive into email marketing tips and tricks you can employ in your business, let’s discuss some industry specific statistics on email marketing.
This information is courtesy of Constant Contact, where they collected some 200 million emails from Constant Contact customers in 2015 where each customer gave the business type they were in as part of their account information.
Business Type Open Rate Bounce Rates Click Through Rate Opt-Out Rate
Accomodations 17.69% 8.36% 7.21% 0.29%
Accountant 13.18% 6.16% 6.90% 0.13%
Animal Services 22.70% 8.06% 7.28% 0.35%
Art, Culture, Ent. 24.73% 8.35% 6.95% 0.17%
Automotive Svcs. 16.11% 4.86% 10.68% 0.38%
Child Care Svcs. 26.46% 5.91% 6.55% 0.68%
Civic/Social Mem. 9.42% 3.07% 6.74% 0.04%
Consultant 15.20% 10.34% 7.66% 0.13%
Education 27.18% 7.34% 9.08% 0.17%
Higher Education 20.42% 7.52% 8.46% 0.14%
Financial Advisor 17.70% 13.04% 9.10% 0.12%
Fitness Centers 19.46% 9.05% 7.65% 0.22%
Fitness/Nutrition 11.06% 3.87% 7.71% 0.17%
Govt. Agency 25.65% 8.65% 8.71% 0.12%
Hlth Social Svcs. 24.64% 9.66% 8.60% 0.22%
Health Professional 19.04% 9.37% 7.39% 0.24%
Building Svcs. 20.68% 8.89% 7.32% 0.36%
Insurance 9.64% 4.77% 7.83% 0.16%
Legal Services 22.59% 11.46% 7.43% 0.20%
Manufacturing 18.31% 11.76% 8.94% 0.20%
Marketing 10.35% 7.70% 7.28% 0.08%
Other 13.15% 6.54% 7.38% 0.10%
Non-Profit 23.88% 9.83% 8.01% 0.15%
Personal Svcs. 12.35% 4.90% 5.95% 0.19%
Prof. Svcs. 16.04% 8.64% 8.22% 0.21%
Publishing 17.91% 7.83% 12.84% 0.07%
Real Estate 19.91% 13.47% 6.15% 0.18%
Religious Org. 30.88% 7.94% 7.20% 0.09%
Restaurant 17.38% 9.99% 4.47% 0.20%
Retail 14.96% 6.93% 8.92% 0.13%
Salons/Spas 16.21% 12.68% 4.30% 0.28%
Technology 12.73% 11.23% 6.78% 0.15%
Transportation 19.48% 10.02% 13.47% 0.15%
Travel/Tourism 16.91% 9.53% 7.91% 0.14%
Unknown 14.14% 7.14% 7.42% 0.13%
Open Rate – Percentage of those who received your email and actually opened it.
Bounce Rate – Percentage of whom you sent an email, but could not receive it.
Click Through Rate – Percentage of people who opened the email and clicked on a link in the email.
Opt-Out Rate – Those who choose to no longer receive your email.
In a nutshell as far as email marketing is concerned the open rates of all of the industry’s listed are good. Typically an open rate of 10% is considered really good.
How do you use this information to your advantage to maximize your email marketing efforts?
If you’re industry is listed above and you are within that range for each metric given from Constant Contact, then keep doing what you’re doing.
You’re on the right track my friend.
Otherwise, see how far off you’re and strive to get into that range in order to maximize your email marketing return-on-investment.
Tips on how to utilize email marketing as a customer acquisition strategy.
Before I go any further you first need to make sure you have a lead generation method in place.
I discussed this in an earlier article.
From this point forward I am going to assume you have a lead generation method in place.
Sound like a plan? Good. Let’s continue.
Keep this in mind when it comes to your email marketing as well as all of your other marketing.
According to Google’s Zero Moment of Truth Research in 2012 it takes 10.4 pieces of content online before someone is ready to engage with you. Further, it may be higher or lower for your industry based on what the market research says.
So keep that in mind when sending emails to your prospective customers that it will take 10 emails or more before they even think about responding to you.
This will help you manage your expectations.
- Send emails to build rapport with your potential customers, get to know them. Construct your emails like you’re sitting across the table from them having a conversation at a bar, restaurant, pub, whatever.
Here’s an example of an email like that.
Subject Line: How Can I Help You?
Body of Email:
I wanted to find out what business you’re in and
see how I can help you.
Sound like a plan?
Look forward to talking with you.
Keep it simple. Don’t over think it and send some long and drawn out sales pitch.
Well, isn’t that the idea? To sell them something? Of course it is, but you don’t ask someone to marry you on the first date do you?
Absolutely not. You need to build a relationship first.
Also, you have to find out what their needs, wants, and desires are and the only way to do that is to ask questions.
Once you’re able to do that, then you can think about selling to them.
Here’s another example of a rapport building email.
Subject: Where Are You From?
Body of Email:
I want to know where you are from.
If you wouldn’t mind just hit reply
and let me know.
I appreciate it!
P.S. I am from the Commonwealth of Massachusetts
As you can see not only am I trying to get to know my potential customer, I am also telling them about myself.
Believe it or not offering up that little nugget of information of where I am from builds trust and let’s the prospect know you care about them, rather than trying to sell them something to make a quick buck.
- Uncover what problems or needs your potential customer is having at the present time in their business.
This is critical so you can show them how your product or service is a solution to their problem.
How would you go about that?
Simple. Here’s how.
Subject Line: What’s Your Biggest Challenge in This Economy?
Body of Email:
If you don’t mind me asking.
As a small business owner
What keeps you awake at night?
By asking this open-ended question you will dramatically increase your chances of finding out what problems or issues your prospect is facing.
When you have that answer you will know exactly how your product or service can solve that problem, if at all.
Because the last thing you want to do as a small business owner is generate a bunch of leads and then send them a ton of emails asking them to buy something without even knowing whether they need or want what you have to offer.
Use common sense. Otherwise you’re banging your head against the wall.
What is the definition of insanity? Doing the same thing over and over again expecting a different result!
- Once you have uncovered your prospect’s needs, then and only then you sell them your product or service. Provided what you sell will meet their needs. If you cannot meet their needs kindly tell them so and refer them to someone who can.
Think about what I just said there. Refer them to someone who can meet their needs. I don’t know about you, but I remember that stuff and will refer others who could use that product or service without hesitation.
Does that make sense? I hope so.
So what would that email look like?
Subject Line: This May Solve Your Problem
Body of Email:
Based on prior discussions you and I
have had, I think this “X product or X service”
Will solve your problem. Take a look at the
Attached pdf and let me know your thoughts.
It is pretty much that cut and dry. Once you find out the problems your potential customer is having, then you have already won half the battle.
If you notice based on my examples there is a distinct process in place.
- Build rapport. Get to know your prospect.
- Ask questions. Find out what problems they are facing in their business.
- Show how your product/service is part of the solution to their problems.
- Make the sale – provided the customer agrees that what you offer is a solution to their problems.
If you follow that process I can guarantee you will have no problems acquiring new customers.
It is imperative that you have a process in place for your email marketing efforts in order to maximize your return-on-investment.
Further you need a process in place for:
Customer Acquisition and Customer Retention
How do you acquire new customers ?
Do you have a customer acquisition and retention process in place?
Is your current process working?
If your process is working, do you want to improve it?
As a small business owner if you do not have a customer acquisition process in place you’re losing time and money. So let’s connect. Maybe I can help you plug that leaky bucket so you stop wasting time and losing money.