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E-mail marketing is considered as a type of direct marketing that uses the electronic mail as a means of communicating the commercial messages to a wide audience. Every e-mail sent to a potential or current customer can be considered as a e-mail marketing method.

The email marketing can have all or any of the following activities
  • Sending e-mails with the purpose of enhancing the relationship of a merchant with its current or previous customers and to encourage customer loyalty and repeat business,
  • sending e-mails with the purpose of acquiring new customers or convincing current customers to purchase something immediately,
  • adding advertisements to e-mails sent by other companies to their customers, and
  • sending e-mails over the Internet, as e-mail did and does exist outside the Internet

Advantages of email marketing

E-mail marketing (on the Internet) is popular with companies for several reasons:

  • A mailing list provides the ability to distribute information to a wide range of specific, potential customers at a relatively low cost.
  • Compared to other media investments such as direct mail or printed newsletters, e-mail is less expensive.
  • An exact return on investment can be tracked (“track to basket”) and has proven to be high when done properly. E-mail marketing is often reported as second only to search marketing as the most effective online marketing tactic.
  • The delivery time for an e-mail message is short (i.e., seconds or minutes) as compared to a mailed advertisement (i.e., one or more days).
  • An advertiser is able to “push” the message to its audience, as opposed to website-based advertising, which relies on a customer to visit that website.
  • E-mail messages are easy to track. An advertiser can track users via auto responders, web bugs, bounce messages, unsubscribe requests, read receipts, click-through, etc. These mechanisms can be used to measure open rates, positive or negative responses, and to correlate sales with marketing.
  • Advertisers can generate repeat business affordably and automatically.
  • Advertisers can reach substantial numbers of e-mail subscribers who have opted in (i.e., consented) to receive e-mail communications on subjects of interest to them.
  • Over half of Internet users check or send e-mail on a typical day.
  • Specific types of interaction with messages can trigger other messages to be delivered automatically, or other events, such as updating the profile of the recipient to indicate a specific interest category.

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