Email marketing is all about numbers. This channel is the most quantifiable for digital marketing. This is a fantastic opportunity for your company.

Understanding all information can be overwhelming. Knowing how to identify key performance indicators (KPIs) that matter is essential.

Kobe Digital can provide more information about email marketing plans. Call us to speak with a strategist. Continue reading to find out 4 KPIs you should monitor (and 2 to monitor with caution span).

KPIs that Matter

These are the most important KPIs for email marketing. How can you measure them? Why should you care?

1. Conversion rate (CR).

It is crucial to track your conversion rate across all digital channels. 

The percentage of people who opened an email and clicked on the link in it is your conversion rate. You can also define conversion as completing a form or making a sale. You can also set any other goals that could impact your business.

It is important to distinguish between conversions via email from conversions via other marketing channels or websites. These URLs allow you to easily identify the source of a particular transaction.

2. Click Through Rate (CTR).

Track your clickthrough rate.

This metric measures how many recipients clicked on a link within an email. It is the most common in email marketing. This metric allows you to compare the performance of email blasts and A/B tests quickly and easily.

A high CTR is essential to reap the rewards of email marketing campaigns.

3. Total Return on Investment (ROI)

This metric provides a quick and precise answer to the question “Is my email marketing effective?” “

To calculate ROI for email campaigns, you can use the following formula: [($ sales attributable email – $ spent on the campaign) * 100

Even if you don’t track sales results from email campaigns, you can still calculate your ROI. Simply know the cost of each lead, signup, or download.

Understanding the context of ROI is crucial in marketing strategies. You can use it along with other metrics to evaluate your overall performance.

4. Rate of bounce

Track your bounce rate to ensure your campaign’s longevity and health.

A bounce is an error in the delivery of an email. To calculate your bounce rate, add the total bounced emails to 100 and multiply it by 100.

There are two types of bounce: a true bounce and a soft bounce. A soft bounce indicates that you tried to send an email from an inaccessible address. 

It is crucial to remove any email addresses associated with bounces from your mail lists immediately. Many ISPs use bounce rates as part of their system for identifying spammers and penalizing them.

Would you like to speak with a strategist? Please give us a call! 

Track KPIs and caution

Email marketing is easy to measure. 

1. Open rate

The open rate is a popular KPI that marketers use for their email marketing campaigns. This is why:

• The majority of open rates are determined by pixel tracking. A message is considered open if it has an image or tracking pixel embedded within it. Many people don’t care enough about it or prefer to leave the image on.

• Large email service providers open emails automatically when users scroll through their inboxes. You don’t know if the user has read your email.

The open rate can be used to measure relative performance. 

2. Unsubscribe rate

You should be careful when measuring the unsubscribe rates. Many users will not only stop opening and reading your emails but also unsubscribe from them.

It is worth checking for unusually high unsubscribe rates. This could be a sign of a problem in your list sourcing but is not a good indicator of campaign health.

Optimize your email marketing now

Email marketing is a complex business that can be hard to master but it can also prove extremely lucrative when done right.

Kobe Digital’s experienced team of Internet marketers has years of experience crafting and sending flawless emails to clients. 

Request a quote or additional information.