Complete Email Marketing Guide For Beginners

Complete Email Marketing Guide For Beginners

Get to know more about email marketing, from history, email types, to KPIs and do’s & don’ts.

History of “Email Marketing”

Email technology has actually existed since 50 years ago, or to be precise in 1970 it was developed by Ray Tomlinson. A decade later, email with a large number of recipients began to be piloted in 1980, although the information technology was still relatively simple. It was only in 1991, coinciding with the birth of internet technology, that email became a basic part of a web-based information system for electronic correspondence. A few decades later, followed by the development of information technology, the use of email soared rapidly in the 2010s era, along with the rapid adoption of internet technology on mobile devices. It was only in 2012, marketers began segmenting email lists so that emails sent were right on target, and the following year, innovations in email automation technology were claimed to have an impact on conversion rates of 50 percent.

Types of “Email Marketing”

In accordance with technological developments, email marketing also developed which eventually spawned various types. Then, what are the effective types of email marketing to support business growth?

Key Performance Indicator (KPI) Email Marketing

In managing email marketing, of course, it also requires an understanding of the various metrics that can be measured to determine the success of an email marketing campaign. There are several reasons why monitoring email marketing Key Performance Indicators (KPI) is important, one of which is to help see the performance of each email sent, sort out which delivery strategies should be repeated and which should be discarded, and many others. Before going any further, here are the email marketing KPIs that need to be considered.

  • Deliverability Rate Deliverability rate is the level of ability to deliver emails successfully to a customer’s inbox.
  • Open Rate Open rate is an indication that the email marketing sent has been opened by a subscriber.
  • Click-Through-Rate (CTR) Click-Through-Rate (CTR) is the percentage of people who click or take an action on a link in an email.
  • Unsubscribe Rate The unsubscribe rate is the percentage of people who click the “unsubscribe” button on emails that are sent.
  • Bounce Rate Bounce rate is the percentage of total email sent but not delivered to email recipients.
    Spam Rate Spam rate is the percentage of someone who reports or flags sent emails as spam.

Do’s & Don’ts in Email Marketing

As previously noted, email marketing is a marketing channel with reliable marketing performance. However, before you dive into it fully, it’s a good idea to take a look at some of the do’s and don’ts for your email marketing campaign.

The Current Development of Email Marketing

After more than 50 years, email has evolved following technological developments, and personalizing content in the midst of today’s rapid internet. In recent years, email technology has been able to focus its distribution on subscribers or recipients. In 2021, the trend of personalizing email was claimed to be able to penetrate the strict “spam” filters of popular email providers such as Google. This indicates that in recent years and years to come, email marketing will focus more on a two-way approach. The first is to create emails with better message quality for the audience, accompanied by personalization and delivered according to segmentation. Second, “mobile friendly” email marketing is considered to be the prima donna in the digital marketing world. A study even says, 60 percent of internet users open email via their smartphone device.

Here are some developments to be aware of in email marketing:

  • Hyper Personalization Hyper-Personalization is a highly personalized email marketing strategy. Its scope is deeper than any other personal marketing. Therefore, its success rate in converting customers is much higher. If other personal marketing only uses messages about mentioning contact names and promoting needed products, then this hyper-personalization is more in-depth, for example it can include data related to previous consumer behavior.
  • The use of Artificial Intelligence (AI) in Email Marketing The use of AI in email marketing has become a trend in 2020 to date and is the trend most used by marketers. The use of AI in email marketing is usually found in analytic features that can help to analyze campaign performance with auto-generated AI assisted. In addition, the use of AI in email marketing can be found in the segmentation feature, so that automatically grouping customers based on behavior can be done easily.
  • User-Generated Content (UGC) UGC is all forms of content (text, video, images, audio) created by end users of goods or services, you could say user-generated content is testimonial content from users. About 70% of all consumers base their purchasing decisions on reviews and ratings from other users. Therefore, when marketers include this in their emails, it will increase the level of trust in the product or service being promoted.
  • Interactive Email Interactive email is key in email marketing. This interactive email is able to increase customer interaction and engagement on email. Interaction in email marketing can help a business or brand to get engagement from the audience. Interaction in this email can be started by creating content in the form of polls, short quizzes, and CTAs to continue subscribing or read the full message. Because basically, the audience wants to feel directly involved with a business or brand through the various channels used to reach them.
  • Mobile Friendly Mobile friendly email is an email made responsive to various devices and browsers used by users. A business needs to implement a mobile friendly email because according to eMailmonday, email users open their email more often on their mobile phone, so the email content needs to be displayed properly on their screen. If a user is having trouble seeing a promotion or offer being sent, they’re likely not going to wait until they get home and open their email on their desktop. In addition, mobile-optimized email marketing can increase open rates by 50%.
    Focus On Privacy When the General Data Protection Regulation (GDPR) was launched in 2018, the world of email marketing changed, and they still haven’t fully adjusted to the new realities. Then, in 2020 and 2021 just as the pandemic began to spread in various parts of the world, various businesses aggressively sent updates regarding their business to customers via email. Customers are inundated with emails every day, both about company updates and promotional emails. Because of this, this year the trend to focus on privacy has become the main trend.
  • E-Billing E-Billing in email is closely related to the Government Regulation on “APPLICATION OF RISK MANAGEMENT IN THE USE OF INFORMATION TECHNOLOGY BY COMMERCIAL BANKS” in Part Two concerning Placement of Electronic Systems in Data Centers and or Disaster Recovery Centers, article 21 paragraph 1 which reads: ” Banks are required to place Electronic Systems at Data Centers and Disaster Recovery Centers in the territory of Indonesia.” So that it can be interpreted that Banks are required to have a data center located in the territory of Indonesia. Then based on article 21 paragraph 2 which reads: “Banks can only place Electronic Systems in Data Centers and or Disaster Recovery Centers outside the territory of Indonesia as long as they get approval from the Financial Services Authority. ” Based on the article, if a Bank has a system abroad, it must first obtain approval from the OJK. And as previously explained, the impact of the pandemic in various worlds makes businesses need to be even more aware of everything they issue to the public. One of them, the impact in Indonesia, namely the adaptation of technology in society is claimed to be accelerated up to 7 times. This certainly changes people’s habits in socializing and transacting, one of which is in the buying and selling process. With all the limitations, through site-based technology or applications, it is possible for people to be able to buy all their needs without the need to leave the house through electronic transactions. However, only a small part of transactions that occur through the help of the internet are considered legal in the eyes of the law as regulated in UU ITE and PP concerning “APPLICATION OF RISK MANAGEMENT IN THE USE OF INFORMATION TECHNOLOGY”, which is enforced to protect transaction data of service providers and their customers. indirectly, email is one of the safest channels to use for online transactions and proof of online payments or e-billing, because email is one of the legal marketing channels and all conversations in it can be used as legal evidence in court when something unwanted happens. . And based on UU ITE number 19 of 2016 concerning Information and Electronic Transactions (UU ITE). Article 1 number 2 of the ITE Law defines electronic transactions as legal acts carried out using computers, computer networks, and or other electronic media. One of the activities in question is proof of transactions that must and can be used as legal evidence.

Challenges in Email Marketing

It was previously discussed that in recent years, the use of AI for message segmentation and relevance has become a trend that is widely discussed by email marketers, because it is a challenge as well as its own solution to simplify the process of email marketing campaigns. Apart from that, here are some challenges in email marketing:

  • Email Delivery Frequency Determining the frequency of sending emails is very necessary, because this is closely related to customer segmentation and relevance. A brand is not allowed to send email campaigns at the same time let alone sent to the same audience, because this will have an impact on their email delivery performance.
  • Subscriber Engagement Email recipients are usually quite responsive the first time they subscribe. However, after some time, their interest began to decline for some reason. This is a challenge for email marketers, because they need to find out the reason for the decline in subscriber interest which ultimately has an impact on email campaign engagement. Then, they also have a challenge to overcome it so it doesn’t drag on too long.
  • Increasing Customer Acquisition Email marketing is an effective customer retention and acquisition channel. However, this is a challenge for marketers, because when the customer list grows, the business does not have a long plan related to this. In addition, Customer Acquisition Costs (CAC) has also continued to increase over the past five years, and acquisition only refers to getting new customers, no one says they will not churn.
  • Increase Customer Retention In business, revenue is not obtained from new customers, but from old customers. Therefore, it is important to focus on customer retention as opposed to new customer acquisition, although this acquisition is also important. In addition, acquiring new customers can cost five times more than retaining existing ones.