5 Reasons SMEs Need to Start Email Marketing
24 May 2021
3 Min Read

The digital marketing landscape has shifted in the last two years. The pandemic contributed to a shift in consumer habits, with cashless payment and online shopping gaining popularity among Malaysians. E-commerce saw a 149% surge in online sales, with Shopee alone pulling in an average of 27 million visits per month during that first quarter.

Businesses have taken notice of this shift. Spending on digital marketing is projected to reach RM235 in 2021, as companies look to capitalise on the online engagement experience to attract customers. And while the playing field still favours corporations with more marketing Ringgit to spare, this digital shift has also provided greater opportunities for Small and Medium Enterprises (SMEs) looking to capture this market. 

Here’s a tip: Park your digital marketing budget in email marketing. Here’s why:



1.    Email Marketing is Cost Effective
While most marketers will likely have a stake in social media and search engine marketing, they are not necessarily generating significant results from it. In comparison, email marketing continues to boast on of the highest Return-On-Investment (ROI) rates for digital marketing, generating RM44 for ever ringgit spent. With social media, that percentage dips down to 28%, making it a less cost effective solution for converting and retaining your target audience.

On top of that, some email marketing services don’t even charge you until you’ve passed a certain threshold. Enginemailer for example provides you with 10,000 free emails monthly to send out to an unlimited subscriber base; ideal for SMEs looking to get their feet into the game without spending a sen!


2.    Email Marketing Drives Conversions
Whether you’re looking to drive memberships, sales or simply subscribers to your messaging, there is no better channel for it than email marketing. If we look at views, click-to-open rates from email are generally in the 20-30% range, with an average click-through rate of 2.5% and open rate of 15-25%. Facebook on the other hand only provides an 0.07% click-through rate. A survey by Monetate showed that, 4.24% of your email marketing visitors are likely to buy something, compared to 0.59% from social media, and 2.49% from the search engines.


3.    Email Marketing Has a Larger Outreach
While social media usage has enjoyed much growth in the past few years, they have yet to surpassed email users in volume alone. Email usage still remains at the very top, with four billion users in 2020, and this number is set to grow up to 4.6 billion users in 2025. Compare this with Facebook which reached approximately 2.8 billion monthly active users in the second quarter of 2020 and its clear why the humble email is still king when it comes to reaching its intended audience. Speaking of intended audience.



4.    Email Marketing is Great at Building Strong Customer Relationships
The great thing about email marketing is how much personalisation you can input into a campaign. This goes beyond just being able to greet a customer by name or wish them a happy birthday; it means you can send them targeted promotions based on their consumer habits, and prompt them if they were halfway through making a purchase from you. It means being able to inform them whether or not their items are enroute to their homes and whether you have special offerings for the coming season. It means being able to share what matters to your audience in specific and targeted ways.

But the defining factor that separates email marketing from other forms of digital marketing is the fact that your audience has opted in to receive your marketing communications. These are customers who are looking to hear more from you and are receptive to your messaging, as opposed to the sort of targeted ads served via banners or pop ups. Done well, you can foster long lasting relations with your audience with quality content and just the right amount of emails in their inboxes.


5.    Email Marketing Helps Establish Authority
Marketing campaigns aside, email marketing is great at establishing your authority as an industry leader. Educational content that drives home the importance of your product or service while providing tips to best utilise what you have to offer will help lend a sense of credibility to your brand, making you synonymous with quality and trustworthiness.




As brands continue to vye for their audience’s attention through different channels, email marketing continues to be one of the best ways to get the message across. SMEs looking to succeed in today’s changing landscape will benefit from investing time and resources into exploring email marketing for their companies.



This article is brought to you by Enginemailer, an integrated cloud platform that offers database management, email marketing and transactional email.

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