Having a reliable email contact list can be one of the biggest weapons in an online marketer's arsenal, but is social media on its way to replacing email marketing as the primary way retailers reach their customers via the Web? According to a recent report from AllBusiness Experts, social media is an invaluable channel of communication but not as critical as a well-planned email marketing campaign. Businesses should take social media hype with a grain of salt and rely on their traditional email marketing solutions.
The main reason that email should remain the primary focus of businesses' online marketing initiatives is that it shows a much better return on investment than its social media counterpart. AllBusiness Experts cited a post on Forbes from McKinsey and Company that revealed email marketing products convert more than 40 times the number of customers than Facebook and Twitter combined. While social media efforts can be optimized to produce greater results, the disparity between the two methods is still a large one.
Increasing use of mobile platforms is another reason why retailers are sticking to their guns and going with classic email marketing strategies. AllBusiness Experts showed that 91 percent of mobile users check their email at least once a day. At such a high rate of exposure, businesses would be making a mistake by failing to implement their best possible email marketing strategies and optimize them for smartphone viewing.
Retailers are revisiting the email contact list
Despite a lot of industry discussion surrounding the role of social media in the next generation of marketing initiatives, a recent report from Internet Retailer suggested that online vendors are only increasing their emphasis on email marketing. The news source cited a study from marketing analysts Monetate revealing that retailers sent almost 23 percent more emails to inboxes this Q3 than last year's. Buyers are also making bigger purchases when they click on email offers, as retailers' average order value increased from $93.43 to $100.48, a leap of 7.55 percent.
Email marketing efforts are certainly bringing in a lot more business than they used to, although social media is bringing in some big sales for retailers across the board. Internet Retailer noted that the Monetate study saw a 26.13 percent increase in the average order value of purchases resulting from social media marketing. Businesses should balance the two, but email marketing reigns supreme for the time being.