3 Ways AI is Transforming Email Marketing

It isn’t easy to imagine a world where you cannot exchange information and talk to your clients via email.

Email marketing is the oldest form of digital marketing and is still the most significantly used one.

Statista reports that by 2023, the number of email users will rise to 4.3 billion.

And do you know that 73% of millennials, who are gradually becoming a dominant demographic entity, prefer email communication more than anything else?

If you consider the B2B space, then 30% of marketing specialists believe that email marketing provides the maximum ROI.

From the above statistics, it’s clear that email marketing is critical to the success of any company. Therefore, each industry is trying to incorporate automation tools, including AI and machine learning, to make email marketing efficient and cut costs.

AI will play a crucial role in email marketing because of the following reasons:

a. It can analyze data more efficiently than its human counterparts.

b. It can optimize the email subject line.

c. It can significantly increase the click-through rate and the open rate.

d. It can suggest appropriate words based on the tone of the message.

Here are some crucial statistics on how AI is transforming email marketing.

According to Forrester Research, companies that use AI technology to drive email marketing campaigns will grow at a massive pace of USD 1.2 trillion annually.

About 49% of businesses are already using cutting-edge automation tools in their email marketing strategy. And this figure is expected to jump as more developments happen in this field.

Statistics published by Social Media Today revealed that over 82% of marketers recorded high open rates by using customized techniques in their email marketing campaigns. Similarly, 75% accepted that it helped them generate higher click-through rates.

Tractica reported that the global revenue of companies using AI-driven software would rise from USD 9.5 billion in 2018 to USD 118.6 billion by 2025.

List Out The Primary Objectives of Your Email Marketing Strategy

To gain maximum returns from your email marketing campaigns, you should lay down the objectives. It’s easier to brainstorm a strategy if you know what you want to accomplish at the end.

Here’s how you can do that.

Focus on this word: SMART.

Here’s the breakdown:

• Specific: Final objectives must be crystal clear.

• Measurable: Goals must be convenient to track.

• Achievable: Targets must be attainable in the prevailing conditions.

• Realistic: Objectives must be set keeping in mind the team’s capability.

• Time-specific: The time in which you are expected to achieve the set goals.

AI plays a substantial role in how marketers develop, arrange, plan, and implement email campaigns. It’s helping them:

• Increase email engagement
• Improve conversions
• Get better leads

How Email Marketing is Benefitting through AI:

1. AI provides a comprehensive analysis of the performance of email marketing campaigns. Marketers use this analysis to write better emails with a higher open rate and play an instrumental role in converting prospects into full-time paying customers.
2. AI technology helps find appropriate words and set the tone while writing an email. Moreover, it also has a vast repository of predefined content formats, ensuring a high conversion rate.
3. AI can identify the customer’s browsing preferences and learn about their purchasing habits and patterns. This data allows marketers to understand crucial factors that encourage a customer to purchase a product. Marketers can write emails based on these factors, ensuring higher conversion probability.
4. AI analyzes a customer’s complete digital footprint that helps discover their needs, wants, desires, and ambitions. Marketers can use this data to explore new up-selling and cross-selling ideas that significantly impact the company’s overall profitability.
5. AI decides the correct time to send emails to varied customers. This feature improves open rate and website clicks because different customers like engaging with emails at specific times.
6. AI is a cutting-edge technology that uses complicated algorithms to understand the changing market trends and customer preferences based on real-time data instead of hearsay. This feature allows marketers to brainstorm effective strategies for future market demands.

Thus, AI plays an essential role in developing email marketing strategies that lead to smart segmentation, personalization, higher conversion rates, enhanced customer loyalty, and increased brand recall value. As a result, AI-enabled email marketing is a vital tool to increase client retention.

3 Ways How AI is Transforming Email Marketing Campaigns:

We have got a generic overview of how AI is benefiting email marketing campaigns. Next, let’s discuss 3 specific points on how marketers can leverage AI and associated technologies to build better customer relations through emails.

Personalized Email Campaigns Build Better Customer Relationships

Campaign Monitor reports that 26% of customers are more likely to open an email with a personalized subject headline. It further says that they have 6 times more transaction value. Another report by eConsultancy reveals that 74% of marketers admitted that targeted personalization significantly improves their overall customer engagement rates.

• Personalized email campaigns are so successful because of the following reasons:

• Personalized emails with customized headlines grab attention instantly.

• Personalized emails provide solutions to the specific challenges of a customer. They refrain from providing generic information.

• Personalized emails are sent to the right customer, which significantly increases the open rate and website engagement.

AI makes suggestions based on the customer’s past activities and previous interactions that help create a highly personalized message. This message enjoys a higher engagement rate.

AI Optimizes Subject Lines

Do you know that the average office worker receives around 121 emails every day, but they prefer responding to only 25% of them?

A survey by Chadwick Martin Bailey shows that about 40% of customers decide to open an email based upon the subject headline.

Therefore, half the job is done if your subject line is perfect.

Email experts suggest that subject headlines with only 5 words boost open rates by 15.9% compared to longer ones.

It would be best if you avoided the following mistakes that marketers often commit:

• Too many Call to Action (CTA)
• Very lengthy sentences
• No personalization at all

The following points explain how AI-enabled ERP Software optimize emails:

• It creates highly personalized subject headlines.
• It places CTAs strategically in the email.
• It has built-in body copy formats that hold the customer’s attention.

Create Highly Effective Email Marketing Campaigns

AI-enabled CRM systems use predictive analytics to estimate the future performance of an email marketing campaign based on historical and current data.

You can get a deeper understanding of customer behavior by analyzing:

• Past interactions
• Past purchasing patterns
• Increase in sales
• Increase/decrease in website traffic
• Increase/decrease in subscriber rate
• Increase/decrease in click-through rate
• Increase/decrease in open rate
• Increase/decrease in customer satisfaction level

These data points will allow you to create personalized content and promotional offers that customers are most likely to respond to.

Forrester recently surveyed to know how predictive analytics is going to impact email marketing campaigns. Here are the results:

• 82% said that predictive email marketing would play a critical role in the future.
• 81% declared that predictive analytics would play a vital role in driving email marketing campaigns.
• 78% agreed that all email marketing strategies would gradually become predictive in nature.

Conclusion

AI and associated technologies, including machine learning and big data analytics, can significantly boost your email marketing campaigns. It will help you attain your objectives more efficiently and in less time. As a result, you can generate considerably higher ROI without investing much time and money. AI-powered email marketing campaigns are the road forward, and if you want to grab the attention of a substantial number of customers, then this is the way forward!