Email marketing

Reach All Your Customers Via Email For Less Than R500 A Day

Have you considered email as a customer communication strategy? If you are unaware of the costs, and that’s keeping you from making an informed decision, perhaps this blog post will provide some clarity.

Here is the good news – sending email is an uncomplicated process and so is the cost.

The cost of sending email can be broken down into 3 simple steps:

  • Content strategy + production
  • Building a newsletter template
  • Sending your email
  1. Content strategy + production

This is the secret sauce and the stuff that takes the real time. Before you start talking to your clients via email, you need to build out a content strategy. Crafting a story that your customers will connect with is the “graft”.

Here are a couple of questions you need to ask yourself:

  • What are the important questions your customers keep asking you?
  • How do you answer those questions with interesting and relevant content pieces?
  • Where will that content sit?
  • Do I have the skills internally to get the content work done?
  • What does it cost to produce a piece of content?

Let’s answer the last question for you right now. A 2 minute TV Ad can cost hundreds and thousands of Rand to produce and millions to flight. A well written blog post article can run at about 1,000 words and expect to pay around R5 a word.

2 x pieces of content per month = R10,000

  1. Building a newsletter template

Now that your content strategy is waxed, you need to have an email template to slot your content into. The truth is that you can send email in a plain text format (like this email is delivered) or in HTML (just a fancy name for ‘making it pretty’). The majority of promotional and newsletter email you receive on a day-to-day basis is in HTML format because it allows you to add images and a company logo which is important to your brand.

The once off cost of building an email template that you can use over and over again = R5,000

  1. Delivering your email

In order to deliver your email you need an SMTP server (fancy name for a computer that hands email envelopes to another computer). Depending on the amount of email you send, you can probably get away with one SMTP server at R500 a month. The cost of actually sending your email is as cheap as chips.

If you are sending less than 1 million emails per month, you shouldn’t be paying more than 1c per send.

My feeling is that you don’t have 1 million customers 🙂 But you would be surprised at how many prospects you can build up.

Cool, should we have a look at an example to better illustrate how all the costings play out?

Jane owns a well-established travel agency. Over the two decades she has been running her business, she has built up a customer base of +/- 5,000 people. Jane wants to start sending her clients an email newsletter twice a month to inform them about useful information on specials and travel tips.

  • Content production = 2 x blog posts = R10,000
  • Email template design 1 x once off cost =R5,000
  • Email delivery = R600

Now that you have the numbers, what’s stopping you from getting your email marketing strategy in play next year?

Until next time.


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