Increased email revenue from $1,500 to $15,000 per week
Audio version of case study
From $1,000 per email, per week, to $15,000 per week
There are two core, overarching issues with how the companies I have observed handle their email list.
First, they do not send enough emails. Of course, you can kill your email list by just "sending more". More on that later.
Second, they send static, one-size-fits-all emails to everyone.
We can fix this in two ways. What I am about to tell you is how we increased email revenue for one client from $1,500 per week to $15,000 per week.
More important to the revenue increase is the radical increase in marketing campaign ROI. Before we started, this company was doing a one-time return on marketing spend.
That means for every $1 spent, they generated $1 in product sales within a 60-day period.
But with this email improvement, the return on investment increases from 100% to 468%.
The astute reader will notice a discrepancy: "How can marketing ROI increase by only 368% if you increased revenue from $1,500 per week to $15,000 per week?"
A great question.
The answer is simple: Marketing ROI is calculated on a rolling 60-day period.
Email revenue is calculated based on all contacts that are emailed. As such, the revenue increase is based on ALL contacts generated at any time.
Onward.
The art of sending profit emails
Before we get to the "solution" to our two problems (emailing more and static emails), let's see an example of the result.
In this short video, I show an example of what happened. You can watch the video here (scroll to the bottom of that page!)
The solution: email volume and segmentation
The key change we made was the number of "good" emails we sent.
But sending too many emails is a really good way to annoy your subscribers, especially if they are not used to receiving so many.
I remember speaking to a potential client four or five years ago and, after outlining a new system I wanted to implement in his business, he began emailing his customers and leads four times per week (when previously it was once every other week).
Can you guess what happened to his email list?
If you guessed "he destroyed it", you would be correct.
The way to increase the number of emails you send without destroying your email list is by sending only one email per week to different segments of the list. "Send to everyone" isn't a marketing strategy; it's lazy.
How does that work?
Let's use an example: you have a list of 5,000 customers and leads.
Already, we have two segments: customers and leads. Can we break it up even more? Yes, we can.
- Customers of your flagship product
- Customers of other products
- Leads that register from campaign one
- Leads that register from campaign two
- Leads that have not opened an email in 90 days
In our example, let's say that each segment has 1,000 contacts. The last segment above is the "dead list"; ignore it.
You can now send 4 DIFFERENT campaigns, with different messaging and the same or different offer (or just content), to four different segments.
There is a whole system and way of thinking behind this called the "profit email system", which is available on the website.