Email marketing is the number one way that I grew my first business. Heck, it still is!
Email gives you a leg up in one particular way of growing your business that other methods don’t … scalability. Your scalability is all about having an engaged email list.
Did you catch the magic word? Yep, “engaged.” Big numbers mean nothing unless people are actually interacting with your content. An engaged list is why I was able to earn $1,000 on my first launch with just 150 people on my list and had a 9% conversion rate.
Your list does matter and that’s why you need to know what’s working and what isn’t. Here are four things you should look at regularly.
This is simply the percentage of people who click to open your email when they see it in their inbox. Signing up is just the first step. You want them to read your emails so they get more connected with you.
A “good” open rate depends on your industry, but you want at LEAST 20%. And the smaller your list the higher that number should be. If you’re not getting the opens you want, you should work on your subject lines and make sure you’re delivering value every single time.
Click through rate
If you put a link in your email, do people actually click it? Do they follow where you are leading them? Some of this will depend on what the link is. However, looking at your click through rate can show a level of engagement or trust your audience does or doesn’t have with you.
A good click through rate will, again, vary by industry, but you want something in the 2-5% range typically and depending on the size of your list.
Opt-in Rate and Location
You don’t just want to be tracking what people do once on your list. You need to be looking at how they get there in the first place. This allows you to maximize what is working and tweak what isn’t.
You can then figure out the best places to put your opt-in or make changes to your opt-in so you can be extra strategic. Opt-in rates are typically 1-3% … meaning that how’s much of your traffic you should expect to sign up for your list.
Here’s the golden metric that all of the above is leading up to: how many people on your list actually become clients or customers? This shows you a couple of important things:
- How good your content is at positioning you as an authority on your subject and builds trust with your audience
- How well your opt-in offer does at getting the right people on your list
When you know these numbers, you know what to expect in the future for growth as well as how many people you should expect to be your customers now. Good rates typically top out at 5%, and for really large lists they look more like 1-3%.
Email marketing is one of the number one ways to build your online business, especially as you look to build online information products. So building a solid fan base today can lead to customers tomorrow if you focus your content in the right place.