$294,000 in extra revenue...

Your email list (Size Matters)

Hey, Michael here.

We’re back with another edition of The DTC Letters.

In today's newsletter, we are going to over:

  • Why list growth is important

  • How most brands mess this up

  • How much money you’re missing out on

  • How to properly grow your list

If you haven’t already, check out this new training I posted on YouTube about what a winning Ecommerce Email Marketing funnel looks like in 2024 (link)

Why's List Growth Important

There are two reasons growing your email list plays a huge factor in getting results with your email marketing:

  1. Your are essentially wasting 95%+ of your site traffic if you aren't capturing their email addresses

    • If you are in the 10% of Shopify stores based on site CVR (5.16 CVR), that means that 94% of your site visitors leave your site without buying and you leave it up to retargeting ads to get them back

  2. Your email capture forms fuel your highest revenue generating pre-purchase email flows

    • New subscribers trigger your email automations based on actions they take on your site

  3. It also keeps your campaign results from stagnating since you are funneling new subscribers into your list and growing it MoM

    • If you were to send 3 emails a week and never add a news subscriber, you'd start to see diminishing returns from campaigns as most campaign sales are repeat purchasers

What Are Most Brand Doing

Most brands either have only a footer opt-in at the bottom of their site or a pop-up that they’ve never tested or changed since they launched their brand.

If your brand is guilty of either (it’s okay I don’t judge) than you are lighting hundreds of thousands, even millions of dollars a year on fire.

Not having a pop-up means that around 97% of the people who land on your website and DIDN"T convert are NOT getting marketed to again…(Outside of some retargeting ads and organic socials which you have little control over)

Not having a pop-up also causes other issues:

  1. It caused them to generate very little flow revenue compared to their monthly site traffic

    • Most brands generate the most revenue through their Welcome Flow but since no one was joining their email list, it was barely sending out

  2. They were starting to see the affects of a dying list

    • Since they were only emailing the same people over and over and never getting new people to see the campaigns, they were starting to see open and click rates creep down

How Much Money Are You Losing?

If you are getting 75k in monthly site traffic and you can capture a conservative 6% of people to our email list…

That will be 4,500 new subs a month going to the Welcome Flow.

4,500 new subs -> 3,555 of them open the email -> 188 people place an order

With an average AOV of lets say $130 that would be $24,493/mo in sales from this one email alone.

That’s an extra $294,000 from just one email!

Now that these people are on your email list, you also getting them into your abandonment flows, which will convert another portion of the people who either abandoned the site, a product page, cart, or their checkout.

But without a high converting pop-up, your flows won't get nearly as much traffic which will result in generating a lot less sales.

How to Fix Your List Growth

First, your brand needs a:

  • Mobile Pop-Up

  • Desktop Pop-Up

  • Optimized Footer Opt-In

It's important to separate your mobile and desktop pop-ups because the UX on each is completely different.

We also need to be able to set different rules for displaying the pop-ups. (and yes a horrible pop-up can harm site CVR but a good one won't)

Here is the method we use for our pop-ups, it's called the Trojan Horse pop-up and is focused on getting customer bought in using a micro commitment:

Step 1. Yes/No Question
Step 2. Email Ask
Step 3. SMS Ask
Step 4. Show Code

Then for timing you can set it to display:

Mobile:

  • When someone scrolls 80% of the page

  • OR 10 seconds after page loads

Desktop:

  • 12 seconds

  • OR Exit intent

As you see below, the version B on mobile got 9% CVR in just 1 week of running the pop-up.

This means over the course of the next 30 days we added 3,100 new subscribers to their email list just from the mobile pop-up

Now that you know how important a pop-up is to your brands monthly revenue, go create a new pop-up and start making some more sales!!

See you soon ;)

-Michael

Here are some of the best links I've found since last time I emailed you:

  • $2.2 Million Email Design Tips (link)

  • 6 proven copywriting frameworks from the goat himself (link)

  • 5 high impact split tests to run on your flow emails (link)

How I Can Help You

If you like this newsletter and want to work with me, there are a few ways we can do so:

  1. You can apply to work with my Agency, AdSumo Digital (link)

  2. I will be posting free weekly training videos on my Youtube channel (link)

  3. I have over 7,000 tweets on scaling your DTC brand using your brands Email List (link)

  4. If you are looking to better monetize your DTC brands email list, we have worked with brands in several niches from Health & Wellness to Luxury brands and helped Country Life Natural Foods increase their email list revenue add $1.6M in EXTRA yearly revenue in less than 90 days. (Apply Here)

or, so can just reply to this email.

I reply to absolutely everybody who replies to me :)

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