In the world of email marketing, it seems that less is more. Emails sent to a narrower slice of an e-Commerce retailer’s list (1% to 25% of the total) outperformed those sent to a larger segment (75% or more) on three key metrics: open rate, click-through rate and revenue per recipient (RPR).
Emails sent to the smaller list had an 18.29% open rate, compared to 12.93% for the larger list; a 2.17% click-through rate, compared to 1.33%; and $0.17 RPR, compared to $0.11 for the larger list.
The Ecommerce Industry Benchmark Report from Klaviyo analyzed more than 1.5 billion emails sent during Q4 2016. Key takeaways included:
• Companies generating higher annual revenues reported a larger percentage of revenue from email than lower-revenue companies;
• Larger companies generate more revenue from each email sent, with higher RPR;
• The higher-revenue retailers divided their email list into more discrete segments compared to lower-revenue companies; and
• Automated emails (sent based on customer activity, such as abandoning an online shopping cart or purchasing an item from a certain product collection) generated more than $50 million in Q4 for the companies analyzed in the report.
According to the May 2017 report, email success comes down to two factors: segmentation and automation: “By segmentation,…