Have you ever thought about building a mailing list? Probably — but have you actually done it? Many business owners fail to realize just how important it is to start building a mailing list from day one of launching their website. Once they see its impact on their revenue, they quickly understand what they missed. On average, a mailing list will increase your website's traffic and revenue by around 30%.
In this article, we explore the reasons why building a mailing list — or newsletter — is an indispensable part of any company's marketing strategy.
What Is a Mailing List?
A mailing list is a file containing the names and email addresses of visitors who have agreed to receive news or promotions from your company by email. Many online services specialize in managing these lists and help you design and send messages to your subscribers.
Why Building a Mailing List Is Essential
According to the Direct Marketing Association, email marketing generates an average return on investment of around 4,300%. The reason is straightforward: subscribers on a list built from your own website have verified their identity by email and are highly interested in your products or services.
It is worth noting that numerous studies show a mailing list generates 10 times more conversions than targeted campaigns on social networks.
The 5 Reasons for Its Success
1. Email is personal.
Email gives you direct, personal access to the recipient — no algorithm limiting the reach of your message.
2. Your subscriber made an effort to sign up.
To join your list, a visitor filled out a form and confirmed their email address. Having already put in that effort, your subscriber will be far more receptive to messages from your company.
3. Your message is targeted.
As mentioned above, subscribers have already shown interest in your business — meaning you can send them relevant, targeted offers.
4. You own your mailing list.
The performance of your social media campaigns and SEO efforts depends on the goodwill of those platforms. A change in their policies or algorithms can undo all your work overnight. With a mailing list, you are solely in charge of your marketing strategy and depend on no one.
5. People read their email.
People pay more attention when reading their inbox, and they can easily reply to you privately. This helps build trust.
For all these reasons, major brands spend thousands of dollars on social media campaigns to get people to sign up for their mailing lists — because they know email marketing is the best long-term investment.
How to Build a Mailing List
Now that you know why a mailing list matters, here is what you need to build one.
You need 3 things:
The Website
If you do not have a website, contact a web design agency to get one built.
The Sign-Up Form
The form can be created directly within your list management service, by yourself, or by the agency managing your site.
A Mailing List Management Service
There are many mailing list services — some are free but offer no statistics on deliverability, open rates, or click-through rates. It is better to use a professional service from the start. It costs a little money, but it will quickly become a profitable investment.
Here are the features a good mailing list service should offer:
1. Help you compose your message
By providing an email template library and a drag-and-drop editor to make designing your emails easy.
2. Content personalization
The ability to add dynamic elements like the contact's name, or go further with advanced personalization options.
3. Audience segmentation
The ability to group contacts by selecting segments based on criteria of your choice (e.g., gender, location) for more relevant targeting.
4. A/B testing
Run split tests to see which subject lines, content, and offers work best with your subscribers.
5. API access for automation
An API lets you communicate directly with the service for better integration into your website and automated workflows.
6. Full access to your subscriber list
Most importantly, you must have access to all your subscribers' email addresses in case you ever want to switch providers.
Popular mailing list management services include:
Analyzing Mailing List Performance With a Web Analytics Tool
Using UTM parameters, AFS Analytics — a web analytics service specialized in e-commerce — lets you analyze the performance of your marketing campaigns, including detailed data on sales generated by each newsletter campaign.
Conclusion
Regardless of the type of business or website you run, a mailing list will help you convert visitors into customers and build a recurring revenue stream that ensures the long-term prosperity of your company.