Compared to other marketing channels, email provides a remarkably high return on investment (ROI). In fact, for every $1 spent, email marketing generates an ROI of $36.

As a result, email is an essential marketing channel for many small and midsize businesses (SMBs). In this article, we'll cover how to create an email marketing strategy and share best practices for SMBs.

How to Create an Email Marketing Strategy

Follow the five steps below to develop an email marketing strategy.

1. Define Your Email Marketing Goals

First, get clear on what you want to accomplish with this channel. Your email marketing goals will affect the software you'll use and the types of campaigns you'll run.

Here are a few examples to jumpstart the process:

• Ecommerce businesses may aim to sell more products or increase average order value (AOV)

• Entrepreneurs may aim to generate leads and guide prospects toward conversions

• Startups may aim to build their brands and improve customer loyalty

• Scale-ups may aim to grow their audiences and customer bases

2. Choose an Email Marketing Platform

Next, pick the right email marketing software for your needs. Consider factors like:

• Pricing: Some email marketing services charge per send, while others charge per subscriber. Do the math to make sure the software will work as your list grows and your needs scale.

• Automations: The best email marketing platforms can send promotional and transactional messages automatically. Seek out software that can segment subscribers and send targeted emails. For example, Omnisend has pre-built automations for ecommerce.

• Integrations: Email shouldn't exist independently from your other marketing channels. Prioritize a platform that integrates with your analytics and customer relationship management (CRM) tools. Or choose software like HubSpot, which has a built-in CRM.

• Deliverability: It's impossible to run successful email marketing campaigns if your messages never make it to the inbox. Look for a platform with a deliverability rate close to 100%.

3. Build Your Email List

After choosing the software, begin building your list of email addresses. Email marketing is a permission-based channel, which means subscribers must opt-in to receive your messages.

Some of the best ways to collect email addresses include:

• Landing pages that promote an offer or resource in exchange for the customer's email address

• Header bars that display at the top of a website and allow visitors to enter their email address

• Website popups that offer a discount or a free resource in exchange for an email address

For example, Bombas offers a 20% discount for signing up for the brand's email list.

4. Design Email Campaigns

Once you've attracted subscribers, you're ready to send marketing emails. Most email marketing tools offer predesigned templates that you can customize with your company's messaging.

Let's look at a few different types of emails to include in your strategy.

Email Newsletters

Newsletters keep current and potential customers in the loop about company news, products, and services (like the Everlane email below). They can also include snippets from blog posts or links to premium resources.

Automated Email Sequences

Marketing automations are triggered based on subscriber actions. For example, welcome emails go to new subscribers, and abandoned cart emails (like the Asics email below) go to customers who didn't finish checking out.

Sending these emails is more important than you might think. According to the Omnisend Email, SMS, and Push Marketing Statistics for Ecommerce in 2024 report, "Automated emails generated 41% of all email orders while accounting for only 2% of emails sent."

Promotional Emails

Promotional emails highlight sales, discounts, and offers (like the Vitamix email below). They're typically time-sensitive, and they often include promo or discount codes. Think of them as a method of advertising by email.

Transactional Emails

Transactional emails include purchase, order or subscription details (like the Canva email below). Ecommerce companies may also include shipping details in these email automations.

5. Review Your Email Analytics

Is your small business email marketing strategy working? Your email analytics can give you a definitive answer.

All email marketing platforms (like Mailchimp in the example below) provide data like open rate, click rate, and unsubscribe rate.

But the most important metrics to monitor are those related to your goals. For example, if you want to drive more sales, pay attention to clicks and orders.

Optimize your strategy using this data. For example, find the email that led to the most orders or the highest ROI. Then, use it as a model to craft more high-performing messages for your audience.

Email Marketing Best Practices to Follow

Use these four tips for more effective email marketing.

Split Test Email Elements

Not sure if a certain subject line or email layout will lead to better results? Use A/B testing to create multiple versions of an email and send each to part of your list. Then, use the results to continue to create better emails.

Personalize Your Emails

Add personalization to emails automatically using dynamic content. For example, you can insert subscribers' names to greet them or highlight products they buy frequently to encourage them to repurchase.

"Personalized emails still outperform generic ones, but you’ll need to go beyond the standard personalized salutation to deliver truly engaging communications," advises Michal Leszczynski, Head of Content Marketing & Partnerships at Get Response, in the company's 2023 Email Marketing Benchmarks report.

Use Segmentation

Not everyone on your list will benefit from receiving every email campaign. Segment your audience to ensure you only send relevant emails to subscribers. This tactic can improve open and click rates.

Optimize for Deliverability

The higher your deliverability rate, the better chance you have of getting your emails in subscribers' inboxes. As a result, maintaining high deliverability is one of the keys to success for email marketing for small businesses.

Our Methodology for Researching Email Marketing

Authored by Anna Sonnenberg, an expert in marketing technology, this article draws from extensive research and first-hand experience with email marketing strategies.

Anna gathered insights and data from industry-leading sources and research reports. Sources include research from top email marketing platforms: ActiveCampaign, GetResponse, Litmus, and Omnisend.

Next Steps to Get Started With Email Marketing

To succeed with email marketing, you need the right goals, a solid list, and the right software. Find the email marketing platform that best fits your business and start connecting with your customers today.

About Anna Sonnenberg: SaaS Expert

Anna Sonnenberg is a seasoned B2B SaaS writer and small business owner. Specializing in martech, sales automation, and productivity software, Anna turns complex topics into clear, actionable insights. As a fellow entrepreneur, she's dedicated to helping you harness the right tools to grow your business.

Table of Content
1. Define Your Email Marketing Goals
2. Choose an Email Marketing Platform
3. Build Your Email List
4. Design Email Campaigns
5. Review Your Email Analytics
Email Marketing Best Practices to Follow
Methodology