This may seem like a rookie question, but it’s something every business owner or marketing professional has to think about.
It really all comes down to time and priority management. Ideally, every business should be regularly touching base with their customers, capturing new leads, and growing relationships.
If you’re an info-marketer teaching men how to find dating partners, email marketing services canada or overweight people how to lose fifty pounds, then clearly a list is essential. If you mostly sell expensive one-time sale household items, then it’s less necessary.
Of course, if you have unlimited time and resources, then of course a list can never hurt. In the reality we live in, most of our marketing initiatives are based on choices. Do we have our interns make cold calls, or proof read sales copy? Do we pay for an SEO manager, or wing it ourselves, while paying for PPC traffic?
There is a “law” of business that states that most sales are made within seven contacts of the prospect. This rule that you may have heard, was devised during the days of pure cold calling and outside sales meetings. Since then, email marketers have often tried to translate that to meaning that in online sales, you need to email the prospect at least 7 times to make sales.
Is this true?
To an extent. Depending on what industry you’re in, some prospects need more convincing than others. There are some industries which have a stigma attached to them, such as the “dating advice for men” category. It’s one thing for a man to Google “how to pick up girls,” and another thing for him to admit to himself that he has to pay to learn something that he wishes he could do automatically. In this case, it may take multiple contacts of gentle prodding.
In other industries, such as buying a DVD player, the fact is that someone often will do much of his research before coming to your website to buy.
Another key to deciding whether you need an email list is what range of products your business has. A lot of businesses these days, especially in the info-marketing field, have an “entry-level” product of $20-40, which leads to an upsell of products selling at hundreds of dollars, or live events or coaching at thousands of dollars. If this is the case for your business, it is absolutely mandatory that you have an email list. After someone buys your starter product, you need to constantly remind him or her that there’s more to be offered if she commits her time and cash to your company.
As far as money is concerned, an auto-responder is often less than $30 monthly for a strong level of service. There’s really no financial reason not to take advantage of one. The investment comes mostly in your willingness to put time into email communications or to pay to outsource your email communications to someone else.
One more signpost that an email list is a “must” for your business is if your service has a recurring charge. If someone feels like they’re not getting a good amount of service from you and that you’re there to help, they might cancel. This makes it very important that you continue to “check in” and let your customers know they’re important to you.
I’ve covered some important stuff here very briefly, so if you’re in doubt, sign up for an inexpensive autoresponder service, and see for yourself how your traffic and sales are increased.