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This is typically done using a database of acquired email addresses.
In general It involves using email to send advertisements,product updates and information, request business, or to request sales or donations. Commonly an Email marketing strategy will seek to achieve more than one of four primary objectives;
- To build customer loyalty
- To build trust.
- To build Brand awareness.
- To make a sale.
Transactional emails are where the primary purpose of the email is to facilitate, confirm or complete a commercial transaction that a recipient has previously agreed to enter into with the sender. In addition, triggered transactional messages include emails sent as a result triggers such as dropped basket messages, purchase or order confirmation emails,password reset emails, order status emails, reorder emails, and email receipts.
Direct email is when an email is sent with the sole purpose of communicating a promotional message, such as a special offer or a product.
An email database or list can usually be created by collating customer information or prospective customer information to send direct promotional messages to. Alternatively email addresses can be purchased.
[note] The General Data Protection Regulation (GDPR) of 2018 imposed a number of new requirements on companies that collect, store and process personal data including email addresses from EU users. It is important to be fully aware of these regulations which impact email marketers particularly the users right to access information held about them and their right to have all such information deleted on request.
Some advantages of email marketing:
- Cost. Email marketing is significantly cheaper and faster than traditional mail. Estimates show an average return of €40 for every Euro spent.
- Metrics. Businesses and organizations who send a high volume of emails can use an ESP (email service provider) such as MailChimp to gather information about the behavior of the recipients. These insights provided by consumer responses to email marketing can prove extremely helpful in allowing businesses better understand consumer behavior.
- Targeting. With email marketing you have more control over who sees it by segmenting your contacts list based on their lead status, demographics, location, or other data points. Targeting emails ensures that your audience receives content suited specifically to his or her needs. Customers and business owners benefit because you can customise a message for each customer depending on their market segment which results in higher conversion rates.
- Distribution at Scale. Emails now form part of daily life with over 50% of all Americans either sending or checking emails on a typical day. In addition the ease of sharing an email is such that a good email offering can be shared very easily with the original recipient becoming a brand advocate for the company thus also increasing Brand awareness.