If you’re looking to get the most out of your marketing budget, you should invest it in email marketing. Email continues to outperform other marketing channels by a long shot: For every dollar brands invest in email marketing, they receive 42 dollars in return, our research on email marketing ROI shows.
And some brands achieve email marketing returns that are even higher. How do they do that, you ask?
We surveyed hundreds of brands about their email marketing practices as well as the returns they get from the email channel. The result: Unique insights into the factors that lead to higher email marketing returns—and actionable advice on how you can increase the email ROI for your brand, too.
Get a more in-depth look at the factors that impact email marketing ROI
Are you looking for even more insights to help you improve returns? Learn how other factors, including email team staffing levels, list size, the regulatory environment, send frequency, and more impact email marketing returns when you download our CMO’s Guide to Email Marketing ROI.
Transcript: The ROI of Email Marketing
Email offers the highest returns for marketers year after year. But what’s driving high ROIs? We analyzed email programs and ROI figures from hundreds of brands to find out.
Returns on Email Investments Continue to be Staggeringly High
For every $1 marketers spend on email marketing, they receive $42 in return. That’s up from an average ROI of 38:1 in 2018.
ROI By Industry
Brands in the travel, tourism, and hospitality industry report the highest email marketing returns.
- Average: 42:1
- Software & technology: 40:1
- Marketing, PR, & advertising agency: 42:1
- Retail, ecommerce, & consumer goods or services: 45:1
- Media, publishing, events, sports, & entertainment: 45:1
- Travel, tourism, & hospitality: 53:1
The Tactics That Increase Email ROI
What can you do to get higher returns from your email marketing? Here are the strategies that are proven to increase email marketing ROI.
- Use double opt-in to increase email ROI by 13%
Brands that use a double opt-in process generate an ROI of 45:1, compared to an ROI of 40:1 for those using mostly single opt-in.
- Run A/B tests on all your emails to increase email ROI by 37%
Brands that always include an A/B test in their emails generate an ROI of 48:1, compared to an ROI of 35:1 for those who never A/B test their emails.
- Use dynamic content to increase email ROI by 22%
Brands that include dynamic content often or always generate an ROI of 44:1, compared to an ROI of 36:1 for those who never or rarely utilize dynamic content.
- Utilize animated GIFs to increase email ROI by 21%
Brands that utilize animated GIFs often or always saw an ROI of 46:1, compared to an ROI of 38:1 for those who never include animated GIFs.
- Use live content to increase email ROI by 28%
Brands that use live content in their emails often or always report an ROI of 50:1, compared to an ROI of 39:1 for those who never utilize live content.
- Utilize external email analytics tools to increase email ROI by 10%
Brands that use additional analytics tools to supplement the email metrics provided by their email service provider saw an ROI of 43:1. Those who don’t report an ROI of 39:1.
- Use an extensive checklist for pre-send testing to increase email ROI by 26%
Brands that use an extensive pre-send checklist see a substantially higher ROI (48:1) than those who don’t use a checklist (38:1).
How the Litmus Email Creative Platform Boosts Your Email ROI
The Litmus Email Creative Platform is designed to empower your team to send better emails at scale—and brands that utilize the power of Litmus see measurable results.
- Litmus Spam Testing helps increase email ROI by 22%
Brands that utilize Litmus Spam Testing generate an ROI of 48:1 on average, while those that don’t run their emails through spam filter tests before each send report an ROI of 39:1.
- Litmus Email Analytics helps increase email ROI by 16%
Brands that utilize Litmus Email Analytics generate an ROI of 45:1. Brands that only rely on email insights provided by their ESPs generate a 39:1 return.
- Litmus Email Previews helps increase email ROI by 16%
Brands that utilize Litmus Email Previews to test their emails generate an ROI of 44:1. Brands that never or only occasionally test their emails generate an ROI of 38:1.
More Insights to Help You Increase Email Marketing Returns
Get a more in-depth look at the factors that impact email ROI with our CMO’s Guide to Email Marketing ROI at litmus.com/leadership/email-marketing-roi
What leads to better returns?
In our CMO’s Guide to Email Marketing ROI, we analyze email programs from hundreds of brands to examine which factors correlate with high email marketing returns—and which don’t.
Where did we get all this data? These insights are derived from Litmus’ 2019 State of Email Survey of more than 3,000 marketing professionals worldwide conducted between Dec. 11, 2018 and Jan. 31, 2019.