6 Key Email Marketing KPIs You Need to Track

photo of email marketing kpis drawn on notepad

6 Key Email Marketing KPIs You Need to Track

Did you know you’ll get $40 from every $1 you spend on email marketing? With that kind of ROI, it’s no surprise marketers still believe in email.

Of course, the fact email marketing still works doesn’t mean it’s easy to do. For every successful email marketing campaign, ten more bite the dust. The difference often lies in adjusting your campaigns based on results.

So, how do you measure the effectiveness of your email efforts? Simple: keep track of your email marketing KPIs. KPIs (or key performance indicators) are clear, measurable goals you can access at any time.

As for which KPIs to track, that depends on your campaign goals. That said, here are six KPIs that play a key role in almost every campaign.

1. Open Rate

The open rate is the percentage of recipients who open your emails. As important as this is, it’s not the be-all-and-end-all KPI, many think.

For starters, the open rate isn’t always accurate. Most software systems only count an email as opened if the recipients see all the images in it. However, many email inboxes automatically block images from displaying.

The other reason why you shouldn’t focus solely on this metric is that it’s not telling you that much. Even if someone opens your email, that doesn’t mean they’ll interact with it or share it with someone else.

To get the most value out of the open rate, use it as a comparative metric. Comparing open rates over time allows you to see certain fluctuations. This can tell you which email subjects are getting the most responses.

2. Click-Through Rate

The click-through rate (CTR) is the foundation of most marketers’ strategies. Most things you do should focus on improving this rating.

To calculate your CTR, divide the clicks you get by the number of emails you deliver. You can focus on unique clicks (from different people) or total clicks. Both metrics provide useful insights, so it’s all about preferences.

Why is the CTR so important in email marketing? Well, this is the easiest way to see if people are responding to your emails. If someone is interested enough to click on a link, you’ll know you’re providing value to them.

There are plenty of ways to improve your click-through rate. This includes having clear CTAs, engaging copy, and personalization. To get the most out of this metric, use it to determine the results of A/B tests.

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3. Growth/Unsubscribe Rate

Technically, growth and unsubscribe rates are different KPIs. As two sides of the same coin, though, it makes sense to keep them together.

The growth rate allows you to track how your email list is developing. The more you grow your list, the more you expand your audience and reach. If your email list keeps shrinking, that could indicate issues such as:

  • Recipients don’t like your content
  • Recipients have changed their email addresses
  • You’re sending too many emails
  • The links you’re sending have poor page authority

Keep in mind that some parts of your email list will decay no matter what you do. By keeping your list growth rate strong, you can not only recoup the losses but reach further subscribers.

As for the unsubscribe rate, the best way to track it is on an individual basis. If a lot of people unsubscribe via a specific email, it’s worth looking into the reasons why that happened.

4. Bounce Rate

The bounce rate allows you to see how many of your emails don’t reach their target. There are two main types of bounce: soft and hard.

Soft bounces aren’t something you should concern yourself with. These are temporary issues you have no control over. For instance, the recipient’s inbox may be full or there’s a problem with their server.

Hard bounces result from fake, invalid, or closed email addresses. This means your emails never have a chance to get to the recipient. If your bounce rate is high, it’s best to look into it to ensure you’re not facing a bigger issue.

On its own, the bounce rate doesn’t correlate with your marketing goals. That said, you should still keep it as low as possible. Most internet service providers (ISPs) use this metric to determine your reputation.

5. Conversion Rate

As far as valuable email marketing metrics go, the conversion rate is at the very top. It tells you how many people are doing what you want them to do.

See, when a recipient follows a link in your email, there’s usually an action you want them to take. If you’re a consulting business, for example, you may want them to look at the list of the services you provide.

You can calculate the conversion rate via the percentage of sent emails or the number of click-throughs. The former helps you see if your audience is interested in your links, and the latter lets you focus on pure results.

Keep in mind that many factors can influence the conversion rate. Is the information on your website consistent with what your email says? Are your links sending people to an attractive landing page?

6. Sharing/Forwarding Rate

In the context of email marketing, sharing and forwarding are the same KPI. It tells you how many recipients share your emails with others.

The sharing rate is important because it helps you create new contacts and expand your audience. Your main goal is still to get the people on your email list to convert, but this doesn’t help you attract new leads.

Let’s say one of your recipients shares your email. If they’re doing it, this means they think your email will be interesting to someone they know. This allows you to skip a few steps in your lead generation strategy.

By tracking your sharing rate, you can also figure out which of your emails people share the most. This type of insight can prove valuable for developing future email marketing campaigns.

Start Tracking These Email Marketing KPIs

Want to make the most of the email marketing KPIs we outlined above? Start by figuring out your campaign’s goals. Navigating these metrics is fairly simple, but you do need to know what you’re looking for.

Not sure you’re tracking the right metrics for your business? Consider outsourcing this task to our marketing experts at Ascendance! Contact us here to learn more about our email marketing services!

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