Small Business News

Email Is Big For Customer Acquisition

Custora has a new report out looking at ecommerce customer acquisition, finding that email continues to trend upward rapidly from year to year, and is well ahead of affiliate, banner ads, Facebook and Twitter. In fact, email had quadrupled over the past four years, according to the firm.

“The last few years have spawned massive changes in the world of online marketing,” the report says. “With U.S. e-commerce sales now topping $200 billion annually, digital marketers are getting savvier than ever. Customer acquisition trends reflect this evolution. Organic search still leads as the largest channel for online customer acquisition. But as more retailers move towards a ‘free-to-paid’ subscriber model and rely on third parties to help drive visitors to their sites, email and affiliate channels have seen an explosion in growth over the past few years.”

“Email marketing has been a growing trend in e-commerce, with an increasing number of retailers building communities and collecting email addresses, then converting those ‘members’ into customers,” it says. “Organic search continues to grow as a reliable channel, (accounting for nearly 16% of customers acquired) reinforcing efforts to complement products with relevant and informative editorial content along with investing in search engine marketing.”

Email Channel Growth


Here’s where email stacks up compared to other channels for customer lifetime value, according to the report:

Custoer lifetime value

Custora analyzed data from 72 million people shopping on 86 retail websites, tracking where they were coming from, and how much they purchased over a two-year period.

You can download the full report here.

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