Here’s Where Marketers See the Importance of Transactional Emails

March 3, 2020

SparkPost Transactional Email Importance Mar2020Some 3 in 10 companies send more than 100,000 transactional emails each month, per a new study. Given this volume and the above-average response rates they garner, these emails offer another opportunity for marketers to sell to customers, and can help secure future purchases. Here are a few stats marketers should know about transactional emails, according to the report [download page] from SparkPost.

The more than 300 email professionals surveyed for the study feel that transactional emails’ importance is highest for engagement, which is notable given that marketers are generally putting more of an emphasis on response rates for emails than conversion rates.

Indeed, results indicate that almost two-thirds (65.7%) feel that transactional emails are very important to their business for engagement. Close behind, 6 in 10 (59.9% of) respondents also believe that transactional emails are very important for retention. Their importance is a little more muted for conversion, perhaps as some are sent after a conversion event, but they are still considered to be of value for conversion: almost half (47.9%) of the respondents to this recent survey say that transactional emails play a very important part in conversion.

Of the various types of transactional emails companies send out, the largest number are new user welcome emails, followed by application notification, password, and user onboarding/feature familiarization. Fewer companies send out ongoing user education/nurturing emails or new feature alerts.

More than half (54.4% share) of respondents send their transactional email through an email API service, with another 29.2% share using a marketing ESP or other marketing service providers. However, only half (52.1%) report using email authentication for their transactional email, which SparkPost believes to be a missed opportunity given the large volumes of emails sent and the probability of deliverability issues.

A majority (63.6%) of email professionals A/B test their transactional emails. But how do these professionals measure their overall success? The largest share (26.2%) of respondents use open rates as their main measure, while an equal number (23.4%) use click rates and delivered emails. Others are using click-through rates (18.6%) and time to delivery/latency (8.3%) as their primary metric.

The full report can be found here.

About the Data: Findings are based on a survey of 329 professionals involved in sending communications for transactional or marketing purposes.

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