Fred Waters
February 24, 2008

If I were offered only one marketing tool, I would have to go with email. It provides an inexpensive means of communicating with both prospects and existing customers. In fact, in a recent survey of Internet marketing executives, email was rated #1 as the primary choice of online marketing tools.

We all realize how profitable regular communications can be for our businesses. However, in the past communicating with existing or prospective customers could be very expensive. The typical option was direct mailers, where you incurred mailing and printing charges.

In comparison to direct mail, the cost of email is a real bargain. If you have a very small list, you can manage it through your email client like Outlook Express. Although we suggest you use an email management service. They offer simple interfaces for both managing your email list and for sending out professional looking email promotions. These services cost as little as $10 per month.

Why is email marketing so powerful?

1 It can significantly increase your conversion rate of prospects to customers.

2 It can increase the lifetime value of existing customers.

Converting Prospective Customers

The fact is, your first encounter with a prospect, either online or off, will probably not result in a new customer. For various reasons, they may not be quite ready to buy your products or services. However, if you can start a dialogue through regular email communications, you can significantly increase your conversion rate. Most business is lost from the “Out of Site, Out of Mind” syndrome. Email messaging keeps your business in their site and in their mind.

Increasing the Profitability of Existing Customers

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