The future for email marketing is bright

Facts about email marketing from recent industry publications:

Email Marketing 

  • Spend Email marketing is the top digital expenditure for b2b marketers accounting for 8% of budget. [Source: Google, via BtoB Magazine, December 2010]
  • US webmail providers have seen a steady decline from over 140M unique viewers in December 2009 to under 130M viewers in September 2010. [Source: Compete, November 2010]
  • Email marketing generated $32.6B in sales, cost $7B of advertising spend and generated
  • $43.52B ROI during 2009. [Source: Flowtown, October 2010]
  • Spend on email marketing is forecasted to increase by 11% to $2B by 2014. [Source: Flowtown, October 2010]
  • 46% of small businesses are using email marketing. [Source: Flowtown, October 2010]
  • 55% of small businesses using email marketing utilize newsletters. [Source: Flowtown,October 2010]
  • For B2B companies, email marketing spend is set to increase most during 2011 (after website). [Source: BtoB Magazine, January 2011]
  • Email marketing spending is least likely to be affected by a possible recession in the next six months. [Source: Forrester / MarketingProfs, October 2008]
  • Just 5% would cut email budgets, compared with 6% for blogging, 8% for social networks and 12% for podcasting.
  • Most likely to be affected was display advertising, with 41% of US online marketers saying this would be cut if the economy worsened.
  • Email is now the most popular form of direct response marketing in the US. [Source: Direct Partners via Brandweek, July 2008]
  • Email is used primarily by 35% of companies compared to 25% that use direct mail and 21% who use package, statement-stuffers or free standing inserts.
  • Figures released by the US Direct Marketing Association show email marketing is still delivering impressive ROI despite falls over the past two years. [Source: DMA via Econsultancy blog, October 2007]
  • According to the data, marketers will have spent around $500M (£244M) on email marketing to drive $23B (£11.2B) in sales by the end of 2007. That equates to $48.56 (£23.60) for every dollar spent.
  • Email returned $57.25 (£27.91) for every dollar in 2005, and $51.58 (£25.14) for every dollar spent in 2006.
  • ROI will continue to fall next year, with marketers predicted to spend $600M to drive $27B in sales in 2008. This equates to $45.65 (£22.26) for every dollar spent.
  • Datran Media's US Email Marketing Survey found that 72% of marketers plan to increase spending on email marketing in 2007. [Source: Datran Media, February 2007]
    • 70.5% of respondents plan to increase spending on email acquisition campaigns.
    • More than half of respondents outsource email marketing.
    • 83.2% of marketers choose email as the most important advertising medium.
  • 52% of companies consider increasing subscriber engagement the most important email marketing initiative for 2011. [Source: StrongMail, December 2010]

Subscriber behaviour:

  • Subscribers are identified as US consumers who receive at least one permission-based email a day. 93% of online consumers are subscribers. [Source: Exact Target, Subscribers, fans and followers, May 2010]
  • Overall, 58% of online consumers check email as their first online activity of the day, followed by a search engine or portal site (20%), and Facebook (11%).
  • Top online retailers in the US send each of their subscribers more than three promotional emails on average a week. [Source: Responsys, April 2011]

Deliverability:

  • 20% of email in the United States and Canada is still not making it to the inbox while 3% of email goes to "junk" and another 16% goes missing. [Source: Return Path Deliverability Benchmark report, January 2010]

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