Increase Ecommerce Email Revenue

If your brand is generating 7 or 8 figures from sales, but sales from email are not contributing at least 30% of total revenue, you’re leaving money on the table.

I want to walk you through the three foundational strategies of high performing email marketing programs.

Our clients have utilized this program to drive at least 25-35% of total revenue from email efforts alone.

Take an audit of your ecommerce brand using these elements.

1 ) Automated Flows

While most ecommerce brands implement flows, or automations (abandoned cart, browse abandonment, welcome sequences, etc.), they are typically either missing key flows OR the content of the actual emails isn’t designed to move a customer towards a purchase, properly.

These flows should generate approximately 50% of your email revenue.

Flows should also be your most engaged emails (open rates, click rates and revenue per recipient). Since flows are triggered based on actions your customer is taking (signing up for a list, adding a product to cart, etc) they are the most relevant and most likely to be opened.

Higher engagement ultimately means higher revenue.

Most brands require at least 5-8 flows that align with each stage of their specific customer journey.

(Although, many of our private clients have 20+ custom flows each tied to specific customer action.)

What To Review

  • Do you have adequate flows for each stage of the customer journey?
  • How are each of those 5-8 flows performing individually (how much revenue)?
  • Are you driving approximately 50% of your email revenue from flows?

2) Email Acquisition

Email acquisition is the MOST underutilized lever we see when auditing new brands.

It is the lead domino that will make the rest of your email marketing more effective.

Also, for most brands, it should be given as much attention as your store’s conversion rate.

For example…

Let’s say that your store has a high conversion rate of 5% (most stores aren’t this high).

This means that 95% of your total site traffic – traffic that you’re paying for through ads or other performance marketing efforts – is not converting.

Your goal, for this 95% of people, is to “pre-acquire” and nurture them into customers over time..

Our studies show that customers require anywhere from 5 to 20 touch points with a new brand before they are ready to buy.

So instead of losing those visitors who are not converting, put them into your email list so you can nurture them to the point of a sale.

The higher your email acquisition rate, the more revenue you’ll generate from your flows AND campaigns.

What To Review

  • Are you converting at least 5-10% of total site traffic into your email list?
  • If not, that’s a clear sign that you need more points of acquisition and to A/B test your offers.

3) Campaigns

This is where most brands focus.

If you’re unable to continuously increase revenue from your campaigns you are probably either …

a) Not sending enough campaigns – the more campaigns you send, the more revenue you make

…or…

b) Sending too many campaigns with really poor segmentation and targeting resulting in decreased engagement, a bad sender reputation score and decreased revenue over time.

Make sure your open rates are at or above 20% to maintain your sender reputation score.

Segmenting your audience into different tiers based on their current engagement with your brand and customizing the cadence you communicate to each tier, is the fastest way to send more email without burning out your list.

It feels counterintuitive, but you can drive more revenue through email by sending less campaigns to the least engaged people on your list (while increasing the amount you send to the most engaged).

When you decrease the number of campaigns sent to a less engaged individual they are much more likely to open, engage, and buy.

What To Review

  • What is your current campaign open rate? Is it below 20%?
  • If so, have you segmented your audience by engagement (some private clients have upwards of 20 engagement segments)?
  • Are you sending too many emails to your least engaged audience?

If you’re looking to increase the sales your brand is doing through email:

  • have foundational flows in place
  • make sure you are acquiring 5-10% of total site traffic into your email list
  • and create engagement tiered list segmentations for campaigns

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