Your marketing email conversion rate is a vital metric for measuring just how effective your email campaign has been. In this article, we’ve drawn from the expertise of our team here at SmartMail to ensure you have everything you need to know about how to improve conversion rates for your next marketing email.
What is an email conversion rate?
The term “conversion rate” simply refers to the number (as a percentage) of recipients of your email who take the desired action, in the form of the Call To Action (CTA), after receiving your email.
Of course, this action can vary depending on the email in question. It may be to sign up for a new service or subscription, filling out an enquiry form, or making a purchase. The email marketing conversion rate metric is just referring to how many members of your intended target audience completed the action you most wanted them to do.
The standard email conversion rate calculation is as follows:
Conversion rate = (Number of conversions divided by the number of emails delivered) multiplied by 100.
This will leave you with a percentage. Note, some marketers divide the number of conversions by the number of emails opened, but that will depend on your metric preferences.
For example, if you sent 200 emails out to your audience and had 20 conversions, your conversion rate would be 10%. (20/200 x 100 = 10)
Why are conversion rates important?
Conversion rates are inherently related to the objective of your email marketing campaign. If your email is intended to re-engage lost subscribers, the number of additional subscribers your email brings back to the table will indicate the success of said email.
1. Measuring Effectiveness
Knowing how effective (i.e., successful) your marketing email was will determine how much of the content, design, targeting and overall strategy needs to be improved. There are a number of different metrics for gauging the effectiveness of an email but the conversion rate is most aligned to your ultimate marketing objective.
2. Return on Investment
In most cases your conversion rate will help you evaluate the return on investment (ROI) of your campaign. To ensure cost-effectiveness, you need to be able to determine how many of your email recipients actually carried out the action you intended.
3. Engagement
It’s not all about sales and money, however. Marketing emails are invaluable in increasing engagement and building customer relationships. To that end, a low conversion rate may indicate that there is a critical need for improvements in your email strategy or design.
4. Goal Alignment
From open rates to Click Through Rates (CTR), there are many metrics for measuring the success of an email campaign, but the conversion rate is most aligned with your goals and objectives. If your conversion rate is high but your business is not benefitting the way you intend (e.g., low revenue growth), then perhaps your CTA and your objectives are not aligned. Conversion rates will help you determine this clearly.
Tips on How To Improve Email Conversion Rates
1. Segment Your Audience
Segmenting your audience entails creating smaller groups of contacts based on differing characteristics, such as interests, past behavior, demographics etc.
Segmenting your audience allows you to further customize and target the email messaging for each group. The more relevant the email message the more likely you are to see recipients take action.
2. Craft Compelling Subject Lines
The subject line of any marketing email is critical. It needs to be attention-grabbing and clear to pique the curiosity of readers and compel them to open your email.
Include references to discounts or offers you’re providing, add some time-sensitive language around the offer, and ensure that you use action-oriented words.
For example:: “Limited Time Offer: Get 30% Off Your Purchase Today!”
3. Optimize Email Design for Conversion
There are two vital components to the design of your marketing email. Firstly, it needs to be visually appealing. Emails that are difficult or unaesthetic to look at are going to turn potential customers away before they have a chance to reach your CTA.
Secondly, you need to ensure the design is mobile-responsive. More than 70% of people check their emails on the phone. If your email is not mobile-responsive, with a clear and prominent CTA, you’ll find your conversion rates plummeting.
This example from Headspace indicates how clear and bold the design is, how prominent the CTA is, and just how easily adaptable the structure is for mobile viewing.
4. Write Engaging and Persuasive Copy
There are two vital components to the design of your marketing email. Firstly, it needs to be visually appealing. Emails that are difficult or unaesthetic to look at are going to turn potential customers away before they have a chance to reach your CTA.
Secondly, you need to ensure the design is mobile-responsive. More than 70% of people check their emails on the phone. If your email is not mobile-responsive, with a clear and prominent CTA, you’ll find your conversion rates plummeting.
This example from Headspace indicates how clear and bold the design is, how prominent the CTA is, and just how easily adaptable the structure is for mobile viewing.
5. Use Personalization and Dynamic Content
Relevant, targeted, tailored marketing emails are always more effective than generic and non-targeted campaigns.
Email recipients are more likely to convert and take your desired action if the email seems geared toward them. Dynamic content, see the example below which includes specific reference to a movie that based on past behavior the recipient would be interested in, and personalized greetings will catch and keep the attention of more potential customers.
6. Leverage Social Proof and Testimonials
Social proof is an excellent way to increase email marketing conversion rates. People trust the reviews and testimonials of others, and including some in your email can build trust and establish credibility.
Showcase the positive experiences past customers have had with your product or service. Give your recipients a valid and relatable reason why it’s in their best interest to click on your link.
7. Include Clear and Compelling CTAs
The Call To Action is the most important element of conversion. It is the single action you need your recipient to take. That’s why it’s a priority that it’s strong, visible and targeted to your desired action. Like the subject line, use action-oriented language and evoke a sense of urgency.
The CTA doesn’t always have to be specific to sales or purchases or offers. The example below of “referring a friend” is just as clear and equally as enticing as it centers on the very human desire to share positive experiences with their nearest and dearest.
8. Optimize Landing Pages and Forms
The CTA is not the end of the customer journey, however. You need to ensure that any landing pages, forms or eCommerce browsing pages are aligned with the email content and CTA.
For the ultimate purchase or sign up to take place, the landing page on the other side of the CTA needs to be aligned, user-friendly, and frictionless. The more it is, the easier making conversions will be.
Ready to Convert Your Customers? Call SmartMail!
The SmartMail team are experts in knowing how to improve conversion rates for businesses of all types, sizes and industries. Whether you’re looking for solutions for analyzing and testing email designs and CTAs or would like to outsource end-to-end automation and segmentation of your email campaigns, we’re here to help.
Let’s start with a completely free email audit of your business to see how we can help improve your email marketing conversion rate today!
