Email Marketing ROI and Data Quality Go Hand in Hand

Email Marketing ROI and Data Quality Go Hand in Hand

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Email marketing has shown to generate $44 for every $1 invested. As such, it provides the highest ROI out of all forms of marketing. However, effective email marketing relies on accurate, high-quality data and lists.

In this post, we’re going to talk about the importance of data quality and email lists and explain why email marketing ROI and data quality go hand in hand.

Email Marketing ROI

The importance of data quality and accurate lists in email marketing

Working with inaccurate data can significantly decrease the amount of profit you can generate from your email marketing campaigns.

It can reduce your email deliverability rate and negatively impact open, reply, and click-through rates, which, in turn, will result in decreasing the amount of revenue you can generate from email marketing.

Having accurate and up to date data on your prospects and email subscribers allows you to:

Make better decisions

Very few successful businesses make decisions based on a hunch. If you want to generate more revenue through email marketing, you’ll need to focus on making decisions based on hard data about what works and what doesn’t.

Having accurate, quality data is crucial for being able to make strategic decisions that will positively impact your bottom line. It will also help you avoid making costly email marketing mistakes.

Create buyer personas

A buyer persona is a fictional representation of your target customer. Buyer personas serve to help marketing teams have an easier time developing marketing messages and campaigns that will appeal to your target audience.

In order to create buyer personas, you need to have accurate customer data. Depending on how you approach creating buyer personas, you’ll want to gather some or all of the following data on your target audience:

  • Age
  • Gender
  • Location
  • Job title
  • Income
  • Interests

Having this information on your customers will allow you to personalize your emails and improve the effectiveness of your email marketing.

Personalize your emails

You probably already know how crucial personalization is for running successful email campaigns. If you don’t, just look at the following stats:

Image source: RRD

Personalization sounds great, doesn’t it? However, you need customer data to be able to personalize emails.

Unfortunately, for most marketers, the biggest obstacle to personalization is precisely data quality.

Image source: Marketing Charts

It’s obvious why – for successful personalization, your data needs to be accurate. Trying to personalize email communication with inaccurate data will do you more harm than good.

If you’re working with inaccurate data and trying to personalize your emails, you risk offending or annoying your email subscribers, as well as ruining your brand’s reputation.

How does high-quality email marketing data look like?

If you want to generate above average results with your email marketing campaigns, you need to ensure that you’re working with high-quality data.

High-quality data is:

  • Complete – Every contact in your database should have each of their data fields filled. There should be no gaps in your data when it comes to relevant contact details.
  • Consistent – Your data also needs to be consistent across all your systems and databases.
  • Accurate – Having complete and consistent data will do you no good if the data you have is inaccurate. You need to make sure that all the data you have on your contacts is correct, valid, and up to date.

How to collect more data on your prospects and email subscribers

If you got this far, you already know how important it is to have accurate, high-quality data that you can use to improve your email marketing campaigns.

However, you might be wondering how exactly you can collect more data on your prospects and subscribers. The two main ways of doing this include:

1) Optimizing your opt-in form

While keeping your opt-in form as short as possible is usually recommended for improving opt-in rate, it’s not ideal if you want to collect more data on your prospects.

Image source: Neil Patel

If you want to find out more about your subscribers, you’ll need to find the middle ground between not getting any information about prospects and asking too many questions (and annoying your prospects in the process).

2) Using a data enrichment service

Platforms such as Clearbit and Datanyze specialize in providing data enrichment services to businesses.

You can use these and similar platforms to fill in the missing information on your subscribers and improve the quality and comprehensiveness of your data.

Use high-quality data to ensure email marketing success

Having accurate, high-quality data is crucial for being able to run successful email marketing campaigns. Up to date data on your prospects and customers allows you to make better decisions, create buyer personas, and personalize your emails.

When determining whether your data is of high-quality, you’ll want to make sure that it’s complete, consistent, and accurate.

If your data is lacking in any of these three qualities, you can improve it by collecting more information on your prospects through optimizing your opt-in form or using a data enrichment service.

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SeeResponse is a full-service B2B marketing agency and a HubSpot Solutions Partner offering a range of marketing services through its team of marketing and demand generation experts. Our focus is on helping startups and larger companies grow through a combination of strategy, email marketing, demand generation, and marketing automation.