Cost effectiveness of email marketing
£1,800 for 19,000 emails. That’s 10.5p per email. But the average open rate is only 15%, so out of those 19,000 we can only expect 2850 emails to be seen. That takes our cost-per-email up to £6.66. If we assume that 10% of the people who see the email might actually want to buy the item advertised, that takes our cost per email up to £64.28. And if 10% of those interested enough in the product to click on the link and view it on the website do actually buy, that takes the cost-per-email to £600. And we’ve sold three items.