Email Preferred Communication Channel; Commands More Clicks & ROI

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In case you haven’t heard it enoughemail isn’t dead. And if you weren’t sure, now you know. Well, I’m glad we were able to clear that up! So, rather than beat a dead horse and talk about how email isn’t dead, it’s time to celebrate email!

Not only was email the most popular online activity of 2012, but it also has higher click-through rates, conversion rates and ROI than other channels. And this trend is only going to continue — 56% of marketers plan to increase their email marketing budgets this year, which makes email the leading source of marketing investments. And what about the whole mobile movement? Yeah, that’s only fueling the popularity of email, now that people can send and receive email wherever and whenever they want.

Needless to say, we love email here at Litmus! If you weren’t convinced about how awesome email was before, we think this infographic may sway you!

Click on the graphic for an enlarged view. The entire text of the graphic is also available below.

THE REIGN OF EMAIL

A look at what’s ahead for the most popular online activity of 2012.

A 2012 Ipsos Interactive Reid Report confirms that 85% of people use the Internet to check email, while only 61% use it to check social media. Not only is email here to stay, but its future is brighter than ever.

EMAIL IS ALIVE AND KICKING

  • 91% of consumers use email at least once daily, found ExactTarget’s 2012 Channel Preference survey.
  • The same survey found that 66% of consumers have made a purchase as a result of an email that they’ve received.

EMAIL: THE MOST FAVORED CHANNEL

The ExactTarget survey found that email is the most favored channel to receive the following communications:

  • 77%: Permission-based marketing communications
  • 77%: Confirmation, thank you, or purchase receipts
  • 76%: Customer service messages
  • 52%: Financial alerts
  • 43%: Travel alerts

In addition, 44% prefer to look for a deal via email, as compared to a company website (43%), search engine (6%), or Facebook (4%). And, 63% prefer to share content from family and friends, as compared to Facebook (33%) and phone (29%).

Email also has higher click-through rates and higher ROI than other channels, reports Mediapost.com

ROI

  • Email: $40 for every $1 spent
  • Keyword ads: $17 for every $1 spent
  • Banner ads: $2 for every $1 spent

Click-Through Rates

  • Email: 5%
  • Banner ads: 0.8%
  • Rich-media banners: 0.14%

Email also has higher conversion rates per session than search and social combined, found a report by Monetate:

  • Email: 4.15%
  • Search: 2.64%
  • Social: 0.48%

A MOVE TOWARDS MOBILE

In collaboration with the Economist Group, the latest available Pew Research Center’s project found that email is the top activity for both smartphone and tablet users.

Smartphone Users

  • 80% send/receive email weekly
  • 61% send/receive email daily

Tablet Users

  • 65% send/receive email weekly
  • 44% send/receive email daily

According to Nielsen research, the average mobile Internet user spends 42% of his/her time on email.

Litmus’ own research confirms that, in June 2012, mobile email opens surpassed desktop and webmail opens for the first time. In fact, at the end of 2012, mobile opens made up 43% of total email opens.

PROJECTIONS FOR THE FUTURE

The Radicati Group estimated that by 2014, the number of active email accounts will hit 3.8 billion, while the number of email users is estimated to hit 2.46 billion. In addition, the Forrester U.S. Interactive Marketing Forecast projects email marketing spending to reach $2.5 billion by 2016.

Litmus, along with other experts, predicts that the following are email trends that you are sure to see:

Video in email will finally take off: HTML5 video will finally deliver on the video in email experience that marketers have long craved.

Inbox organizers will change subscribers’ view of email: Organizers automatically organize & display content based on default rules and detection.

Symbols in subject lines are here to stay: Hearts, starts, airplanes, and snowmen were one of the biggest trends in 2012 and continue to be popular. With broad support across email clients, expect to see more symbols this year.

Visualization will reign supreme: Pinterest started appearing in retail emails in February 2012, and by October 60% of retailers had used a “pin it” button in their email, reports Chad White in a column from Mediapost.com. Content that incorporates graphics, images, and videos will continue to add visual impact and share-worthiness to emails.

Marketers will continue to invest in email: The 2013 Marketing Trends Survey by Strongmail.com says that 56% of marketers plan to increase their email marketing budgets in 2013, making email the leading source of marketing investment this year.

Additional Resources

  • “Show Email’s Impact By The Numbers” — Mediapost.com.
  • “The 2012 Channel Preference Survey” — ExactTarget.
  • “US Interactive Marketing Forecast, 2011 to 2016” — Forrester.
  • “Boost Your Email Marketing ROI by Focusing on Three Key Areas” — MarketingProfs.
  • “91% of Consumers Use Email At Least Daily” — ExactTarget.
  • “Intelligent Email Marketing that Drives Conversions” — Monetate.
  • “Future of Mobile News: Mobile Activity” — Journalism.org.
  • Email Client Market Share — updated at the beginning of every month!
  • “7 Marketing Predictions and Trends for 2013” — Swiftpage Connect.
  • “Email Marketing is Top Area of Marketing Investment in 2013 and Data Integration is the Biggest Challenge According to StrongMail Industry Survey” — Strongmail.