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Email Marketing: Cost-per-Email

by croni
9 replies
Hi guys

I want to build a newsletter subscriber list in a niche I am interested in to market affiliate offers to. In order to promote the squeeze site capturing email addresses I need to know what I can pay per email subscriptions at the most.

Since I have no idea what average affiliate revenues I can expect per subscriber, I don't know what an appropriate cost-per-email might be...

Does anyone have any estimates or figures? I know it will differ depending on industries, offers and everything, but in order to get an idea of a ballpark figure, any info is highly appreciated.

Thx, Chris
#costperemail #email #marketing
  • Profile picture of the author Chriswrighto
    Hey Chris,

    If I've read your post right, you're wanting to build a list.

    Now...

    What you need to do is find a solo-ad vendor in your niche, and pay them to send traffic to your squeeze page.

    However, this is not priced per subscriber (in 99% of cases). The solo-ad vendors have no control over the quality of your squeeze page, so they charge per click to your site.

    So here's your action plan:

    1. Find a few solo-ad vendors in your niche.2
    2. Quiz them on their past successes e.g. usual sign-up %.
    3. Make sure your squeeze page is good.
    4. Pay them to send traffic your way.

    And bingo... subscribers.

    Chris
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    • Profile picture of the author talfighel
      Originally Posted by Chriswrighto View Post

      What you need to do is find a solo-ad vendor in your niche, and pay them to send traffic to your squeeze page.
      I would have to respectfully disagree with you buddy.

      Sure, buying solo ads to build a list is easy and it gets you lots of subscribers FAST, but the quality is not good at all. Many of your subscribers from solo ads are already being bombarded with others emails from different list owners who already bought a solo ad from different vendors.

      I would go with pay per click ads for better and higher quality subscribers.
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      • Profile picture of the author JensSteyaert
        I agree, solo ads are perfect if you want to make money with cpa offers but not so much if you actually want to make sales promoting to your list.

        If you want to build a targeted list then i think fb ads are a good choice. To make sales you need to make sure you send the most targeted leads as possible to your squeeze page and fb ads allow you to really do this. Just launch some campaigns and set up a good funnel then you should have no problem making a good ROI. Testing is key with paid traffic. Good luck!
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      • Profile picture of the author Stephen Williams
        Originally Posted by talfighel View Post

        I would have to respectfully disagree with you buddy.

        Sure, buying solo ads to build a list is easy and it gets you lots of subscribers FAST, but the quality is not good at all. Many of your subscribers from solo ads are already being bombarded with others emails from different list owners who already bought a solo ad from different vendors.

        I would go with pay per click ads for better and higher quality subscribers.
        This is... kind of right.

        You see, what you are failing to miss is the basic princiaple of:

        Value before selling.

        If you help these people who join your list get what they want.

        They will buy from you.

        It doesn't matter if they come from solo ads or PPC.

        I see your point about being bombarded.

        But that happens to so many subscribers on your list and mine already.

        Thanks to them signing up to other marketers lists.

        Solo ads are fine.
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  • Profile picture of the author Sarevok
    It's literally impossible to know for sure.

    The only way you'll ever know is to create your own data.

    I've taken a boatload of email training over the years...

    What I've found is that everyone is *wildly* different.

    There's a lot of people making $5 per sub per month... And others making a lot more. (I've heard rumors of $20+)...

    These are the marketers with BIG TICKET coaching and stuff.

    Naturally, these figures are ATYPICAL and the average is much, much lower I suspect.

    But man, it's so WIDELY VARIABLE that these numbers literally mean nothing.

    Just my honest $.02.

    I've been wrong before. (Once per year)...
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  • Profile picture of the author thetacrm
    Originally Posted by croni View Post

    Since I have no idea what average affiliate revenues I can expect per subscriber, I don't know what an appropriate cost-per-email might be...

    Does anyone have any estimates or figures?
    Especially if you don't know your final income rate per subscriber, that is one of most important questions to ask: what would you pay per each email subscriber?

    When you would have a mature product, and the ratio of buyers to leads, you would know your top price to pay per each lead.

    The price to pay per each new email address or lead depends thus much of your final product and also the calculation of the ratio between subscribers and actual buyers.

    Further, not each lead is of the same worth.

    Let me tell you examples from our multiple campaigns and list collection from last 30 days:
    1. Leads collected over Tradekey.com have price of average US $0.30 for us, but are highly targeted. People did not quite subscribe to a newsletter, they rather made an inquiry with full contact details, which is better. We have got quite good leads, and they don't complain at all to receive newsletter from us, due to the fact that they are highly targeted and have interacted with me.
    2. Facebook campaigns gave us leads of average CPL (Cost per Lead) of US $0.09 which is pretty cheap, however, this kind of leads is not of high quality. Yes, Facebook may give you targeted leads, but the quality of the targeted list is not the same, not even closely the same like of those people that we got on Tradekey.com
    3. Adf.ly gave us also quite a number of leads and price per lead is much higher on adf.ly than on Facebook. The time is going to say about the quality.
    4. The area where we have most invested are our websites. Those leads are not many, maybe 20 per day, however, they are of high quality and best converting leads. It is however, hard to know the true expense for such lead. Probably it is somewhere around 0.05 counting only the hosting expenses, and the actual price is probably somewhere around US $0.50 counting all the expenses, such as power, domains, but also time and effort brought into lead creation. However, these leads are much worth, as those are people that convert pretty quickly.

    Don't pay too much in beginning, try to go down to free if possible, try partnering with other people. We are in financial, business, mining sector, and if you have somethings related, I would gladly help you out with some marketing over our list.

    Recommended approach:
    1. Test various communication lines, such as marketing exchange, Facebook and any other advertising networks
    2. Go for cheapest price per lead and email address
    3. Sell your product
    4. Make a calculation of your ratio of buyers to subscribers
    5. Was it worth?
    6. That is the point where you are going to know exactly what price per lead you should pay. If you have got 100 subscribers and paid each of them US $0.20, and sold for US $50, you now know that you can continue receiving leads for US $0.20 as your income is US $0.30 per each subscriber.
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  • Profile picture of the author Jtraits
    you should be the one to create your list with subscribers , opt-in and so on. and you should use a professional email marketing company to promote your campaigns and newsletters. (i can suggest you one)
    by sending through your personal email, all you do is damaging your list ... don't be afraid to spend some money on this (in logical terms)
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  • Profile picture of the author gcbmark20
    Hi,

    It comes down to the QUALITY of the lead and HOW TARGETED your
    leads are to the offer you wish to promote.

    I would be happy to pay $3 per lead all day long as opposed to $0.0003
    per lead if I knew that this lead was going to go through my funnel and buy
    most of my low ticket products and my coaching programs too.

    Of course you can look at all the data, analysis and views & opinions you want
    but eventually YOU HAVE TO get your feet wet and start TESTING to see
    what for you and your business.
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    • Profile picture of the author croni
      Originally Posted by gcbmark20 View Post

      Of course you can look at all the data, analysis and views & opinions you want
      but eventually YOU HAVE TO get your feet wet and start TESTING to see
      what for you and your business.
      You're 100% right, there's no way around this... but I get from replies so far that $0.50-$2.00 per subscriber is not completely off track to start with and then get more accurate numbers out of the first tests.
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