The last few weeks we’ve been blogging about the positive results we achieved with a recent email marketing program (You’ve Got Mail) we ran for some of America’s leading automotive brands. We learned that success was possible because we helped our clients send the right message to the right people at the right time. Specifically, we saw that email can be leveraged effectively with appropriately targeted audience segmentation (Segmenting Audiences is Key to Email Marketing Success) and optimized cadence.
As you can see below, the results we achieved with the campaign, particularly on the ROI front, were nothing short of jaw dropping.
Automotive Dealer Email Campaign Results
- Timeline: 6 months
- Total Dealer Spend: $2,295,468
- Total Revenue: $81,667,685
- Avg. Spend per Dealer: $10,248
- Avg. Revenue per Dealer: $346,588
- Total ROI: $33.82 per dollar spent
While the results are impressive, they don’t tell the whole story. The most stunning find of the campaign was the sweet spot we found with the audiences we targeted.
We sent emails to our segmented audiences, based on a variety of detailed data variables, twice per month. Altogether, our audience size was focused, but lucrative. In fact, while we targeted only a small fraction% of the total dealer population, that segment generated 12.3% of total dealer population revenue.
Specifically, we found that if the average person in the total dealer population were to perform equal to the AcquireWeb identified audiences, the average total population sales would increase nearly threefold. The probability that the outcome of this program could have happened by chance or that AcquireWeb did not have a significant impact is less than 1 in 1 TRILLION.
The exciting news about that stat is that if we did this once, we can do it again, and again and again. Not just for automotive dealers but for any vertical, any brand, and any business.
That said, here’s the information you’ve been reading for: scalability. Or more specifically, sweet spot. If you’re thinking that the only way to achieve results with your email marketing campaign is by blanketing a wide swath of potential customers with endless email messages, maybe similar to the way pollsters must conduct surveys to get statistically significant results, think again. Our campaign showed that a definite sweet spot exists when it comes to email marketing.
The ‘Sweet Spot’ of Email Marketing
Our campaign revealed four principles that, when followed, result in the sweetest ROI for your email marketing campaign:
- ID the specific, relevant variables. In our case this included: auto ownership, income, vehicle age and radius to the dealership.
- Increase the target group size.
- Optimize your spend. Dealers who did saw 50% better ROI than those who didn’t.
- Avoid overspending, as it destroys ROI.
Next week, we’ll wrap up this series on email marketing with a brief summary of our takeaways from the study, but key to take away is the idea that more is less when it comes to email marketing campaigns.
Want to see the full study and summary now? Download the Case Study!
What has your experience been with email marketing campaigns in terms of audience size? Is ‘more’ better or have you found that a more refined target returns a better degree of success?