5 ways top eCommerce stores are benefitting from email marketing (with examples)

Email has long been the most effective marketing channel around with an ROI of 4400%.

But the unfortunate truth is that it is also incredibly underutilised by eCommerce stores.

Email has the power to build lasting relationships and drastically increase your store's profits.

However, it can be a little confusing to understand where to get started. I have helped dozens of eCommerce stores succeed with email marketing and I wanted to share some of my experience with you.

By the end of this article you will understand where you can use email marketing in your customers' journey to improve relationships, increase profits, and set your store up for long-term success.

Here we go...

eCommerce email marketing

Increasing the number of new customers

Getting website visitors is excellent but the unfortunate reality is that, at best, only 1-3% of those website visitors are going to convert into customers.

However, all is not lost, as you can turn a significant number of those website visitors into leads by creating a lead magnet or special discount offer that requires an email address to access.

Once you have created a new lead, use an email automation sequence to introduce your brand to them, build a relationship, and encourage them to become a customer.

McKinsey&Company actually found that email is 40x more effective at acquiring customers than Facebook and Twitter combine!

By implementing this simple strategy, you will see a huge increase in new customers.

To get an idea of how to approach these emails, check out this example from Saks Fifth Avenue that is welcoming new leads to their store.

eCommerce welcome email example

See how they have given reasons why the recipient should shop with them. All the copy is focused around how they are providing a superior shopping experience for their customers.

Increase customer lifetime value

Right now, if you are not using email, your customer lifetime value is probably pretty low.

You are not alone. Many eCommerce stores focus more on creating new customers instead of building a lasting relationships with existing customers.

This means that there average customer lifetime value is very low and the profits they are making have so much more potential.

Think what getting a 10-20% increase on your average customer lifetime value will do to your store?

This can be done very easily through email marketing.

By keeping in regular contact with your customers through email, you will be front of mind when it comes to them needing more of your products.

This can be done simply by sending out weekly newsletters to your email list letting them know whats new with your store.

Here is a great example from Crocs.

eCommerce email newsletter example

This short and sweet email promoting their latest discount will keep them front of mind with their customers and result in more sales, increasing that customer lifetime value

Provide better customer service

When shopping online, it is not always clear where consumers can receive support if there is something wrong with the products they just purchased.

This could be a quick way to never hear from that customer again. Even worse, they could spread the bad experience they had across the web.

To stay in your customers good grace, you need solid customer service processes and more importantly, you need your customers to know about them.

What better way to do this than sending an email after purchase, letting your new customer know how they can get in touch with you if they need to.

Not only are you removing the risk of a bad review, but you are improving the shopping experience for your customers.

Now they can be safe in the knowledge that if there is anything wrong with their purchase, they can easily get help.

Check out this example from Blue Bottle Coffee who have used the order confirmation email to let their customers know how to get in touch if they have any concerns.

Customer service eCommerce email example

(Email Credit to Really Good Emails)

Gain more customer referrals

You probably already know that customer referrals are one of the most powerful selling mechanisms around.

But do you have a system in place to increase the number of customer referrals you are getting?

71% of consumers are more likely to make a purchase based on a referral through social media.

Think about the number of new customers you could receive if you are able to increase the number of people sharing your business on social media.

Well, you guessed it, email marketing can do this for you. You can set up automated email that sends just after customers have received their products that prompt them to share your store with their friends.

To sweeten the deal, you can even incentivise them with a discount if they do. Like in this example from Coveroo.

eCommerce referral email example

Get reviews for your products

Reviews are a powerful form of social proof that will make it easier for you to sell more products.

When shopping online, the consumer is much more in the dark than when shopping in a brick and mortar store.

They can’t see the exact product they are purchasing and, unless you are a major brand, don’t know if you are trustworthy. This makes reviews an essential tool to be able to sell your products.

Many stores rely on customers to provide reviews without any prompting. The stores with the most reviews are those that ask for them.

You can set up a simple email automation that is sent to your customers after they have had time to use their new product, asking them to provide a review.

And many people will.

This will give you that social proof you need to convert more of your shoppers into buyers.

Check out this creative example from Casper.

Testimonial email eCommerce example

(Email Credit to Really Good Emails)

Email is essential for eCommerce

Email marketing is an essential marketing channel for eCommerce.

If used right, it can help you;

  • Convert more website visitors into customers

  • Increase the amount your customers spend

  • Provide better customer service

  • Gain more customer referrals

  • Get more reviews for your products.

All of this is going to add up to happier customers that spend more with you and not your competitors, setting your store up for long-term success.

If you are not using email marketing yet, perhaps it’s time you start.

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