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Email Analytics and Tracking: Measure What Matters

December 25, 2023
Analytics Team
10 min read
Email Analytics and Tracking

Email analytics provide the insights you need to optimize your campaigns, understand your audience, and maximize ROI. However, with so many metrics available, it's crucial to focus on the ones that truly matter for your business goals. This guide covers the essential email metrics to track and how to use analytics to drive better results.

Email Analytics Impact

  • • Data-driven campaigns see 5.7x higher ROI
  • • 73% of marketers say analytics improved their email performance
  • • Segmented campaigns based on analytics see 760% revenue increase
  • • A/B testing can improve conversion rates by 49%

Essential Email Metrics

Engagement Metrics

Open Rate

Percentage of recipients who opened your email. Indicates subject line effectiveness and sender reputation.

Formula: (Emails Opened ÷ Emails Delivered) × 100
Industry Benchmarks:
  • • B2B: 21.33%
  • • E-commerce: 18.32%
  • • Non-profit: 25.17%
  • • Healthcare: 22.15%

Click-Through Rate (CTR)

Percentage of recipients who clicked on one or more links in your email. Measures content relevance and call-to-action effectiveness.

Formula: (Unique Clicks ÷ Emails Delivered) × 100
Industry Benchmarks:
  • • B2B: 2.62%
  • • E-commerce: 2.01%
  • • Non-profit: 2.79%
  • • Healthcare: 2.27%

Click-to-Open Rate (CTOR)

Percentage of email openers who clicked on a link. Better indicator of content quality than CTR.

Formula: (Unique Clicks ÷ Unique Opens) × 100
Good CTOR: 10-15% or higher

Deliverability Metrics

Bounce Rate

Percentage of emails that couldn't be delivered to recipients' inboxes.

Hard Bounces: Permanent delivery failures (invalid email addresses)
Soft Bounces: Temporary delivery issues (full inbox, server problems)
Target: Keep total bounce rate under 2%

Spam Complaint Rate

Percentage of recipients who marked your email as spam.

Formula: (Spam Complaints ÷ Emails Delivered) × 100
Target: Keep under 0.1% (1 complaint per 1,000 emails)

Business Impact Metrics

Conversion Rate

Percentage of recipients who completed your desired action (purchase, signup, download).

Formula: (Conversions ÷ Emails Delivered) × 100
Industry Average: 1-5% depending on industry and campaign type

Revenue Per Email (RPE)

Average revenue generated per email sent. Key metric for measuring campaign profitability.

Formula: Total Revenue ÷ Total Emails Sent
E-commerce Average: $0.10 - $0.50 per email

Return on Investment (ROI)

The ultimate measure of email marketing success. Shows the financial return on your email marketing investment.

Formula: ((Revenue - Cost) ÷ Cost) × 100
Email Marketing Average: 4,200% ROI ($42 for every $1 spent)

Advanced Analytics Techniques

Cohort Analysis

Track how subscriber behavior changes over time by grouping users based on when they joined your list.

Cohort Analysis Benefits

  • • Identify the optimal time to send follow-up campaigns
  • • Understand subscriber lifecycle patterns
  • • Optimize onboarding sequences
  • • Predict churn and implement retention strategies
  • • Measure long-term campaign effectiveness

Segmentation Analysis

Compare performance across different subscriber segments to identify your most valuable audiences.

Demographic Segments

  • • Age groups
  • • Geographic locations
  • • Job titles/industries
  • • Company sizes

Behavioral Segments

  • • Purchase history
  • • Engagement levels
  • • Website activity
  • • Email preferences

Attribution Analysis

Understand how email marketing contributes to your overall customer journey and conversions.

First-Touch Attribution

Credits the first marketing touchpoint (email) that led to a conversion. Good for measuring awareness campaigns.

Last-Touch Attribution

Credits the final marketing touchpoint before conversion. Useful for measuring closing campaigns.

Multi-Touch Attribution

Distributes credit across all touchpoints in the customer journey. Provides the most complete picture of email's impact.

Setting Up Tracking

UTM Parameters

Use UTM parameters to track email traffic in Google Analytics and understand how email drives website behavior.

Essential UTM Parameters for Email

utm_source=email - Identifies email as the traffic source
utm_medium=newsletter - Specifies the type of email (newsletter, promotional, etc.)
utm_campaign=holiday_sale - Names the specific campaign
utm_content=header_cta - Identifies which link was clicked

Conversion Tracking

Google Analytics Setup

  1. 1. Set up Goals for key actions (purchases, signups, downloads)
  2. 2. Configure Enhanced Ecommerce for detailed purchase tracking
  3. 3. Create custom segments for email traffic
  4. 4. Set up conversion funnels to identify drop-off points
  5. 5. Use Attribution reports to understand email's role

Email Platform Integration

  • • Connect your email platform to your CRM
  • • Set up e-commerce integration for revenue tracking
  • • Use webhooks for real-time data synchronization
  • • Implement pixel tracking for advanced analytics
  • • Configure custom fields for detailed segmentation

Analytics Tools and Platforms

Built-in Email Platform Analytics

Pros

  • • Integrated with sending platform
  • • Real-time reporting
  • • Easy to access and understand
  • • Campaign-specific insights
  • • A/B testing results

Limitations

  • • Limited cross-channel insights
  • • Basic segmentation options
  • • No post-click behavior tracking
  • • Limited historical data
  • • Platform-specific metrics only

Advanced Analytics Tools

Google Analytics 4

Comprehensive web analytics with advanced attribution and audience insights.

  • • Cross-platform tracking
  • • Advanced attribution models
  • • Custom audiences and segments
  • • Predictive analytics

Customer Data Platforms (CDPs)

Unified customer data for comprehensive analytics across all touchpoints.

  • • 360-degree customer view
  • • Real-time data unification
  • • Advanced segmentation
  • • Predictive modeling

Business Intelligence Tools

Advanced reporting and visualization for complex analytics needs.

  • • Custom dashboards
  • • Advanced data visualization
  • • Automated reporting
  • • Statistical analysis

Creating Actionable Reports

Dashboard Design Principles

Essential Dashboard Elements

  • KPI Summary: Key metrics at a glance
  • Trend Analysis: Performance over time
  • Segment Comparison: Performance by audience segments
  • Campaign Performance: Individual campaign results
  • Conversion Funnel: From send to conversion
  • Revenue Attribution: Email's contribution to sales

Reporting Frequency

D

Daily

  • Campaign performance
  • Deliverability issues
  • Urgent optimizations
W

Weekly

  • Engagement trends
  • Segment performance
  • A/B test results
M

Monthly

  • ROI analysis
  • Strategic insights
  • Long-term trends

Using Analytics for Optimization

Data-Driven Decision Making

Optimization Framework

  1. 1. Identify: Find underperforming metrics or opportunities
  2. 2. Hypothesize: Form theories about why performance is suboptimal
  3. 3. Test: Run controlled experiments to validate hypotheses
  4. 4. Analyze: Measure results and statistical significance
  5. 5. Implement: Apply winning variations to future campaigns
  6. 6. Monitor: Track long-term impact and iterate

Common Optimization Opportunities

Low Open Rates

Potential causes and solutions:

  • • Test different subject lines and preview text
  • • Optimize send times and frequency
  • • Improve sender reputation and deliverability
  • • Clean your email list of inactive subscribers

Low Click-Through Rates

Potential causes and solutions:

  • • Improve email content relevance and value
  • • Optimize call-to-action buttons and placement
  • • Better segment your audience for targeted messaging
  • • Test different email designs and layouts

Low Conversion Rates

Potential causes and solutions:

  • • Optimize landing pages for better user experience
  • • Ensure message consistency from email to landing page
  • • Test different offers and incentives
  • • Improve the checkout or conversion process

Privacy and Compliance

Impact of Privacy Changes

Recent privacy updates from Apple, Google, and others have affected email tracking accuracy. Here's how to adapt:

Apple Mail Privacy Protection

Apple pre-loads images, affecting open rate accuracy for Apple Mail users.

  • • Focus more on click-through rates and conversions
  • • Use engagement-based segmentation instead of opens
  • • Implement first-party data collection strategies

GDPR and Data Protection

Ensure your analytics practices comply with privacy regulations.

  • • Obtain proper consent for tracking
  • • Provide clear privacy policies
  • • Allow users to opt out of tracking
  • • Implement data retention policies

Conclusion

Email analytics are only valuable if they lead to actionable insights and improved performance. Focus on metrics that align with your business goals, and use data to continuously optimize your campaigns for better results.

Remember that analytics is an ongoing process, not a one-time setup. Regularly review your metrics, test new approaches, and adapt to changes in subscriber behavior and industry trends. The most successful email marketers are those who let data guide their decisions while maintaining a focus on providing value to their subscribers.

Start with the essential metrics covered in this guide, then gradually expand your analytics capabilities as your email marketing program matures. With the right tracking and analysis in place, you'll be able to maximize the ROI of your email marketing efforts and build stronger relationships with your audience.

Need Help with Email Analytics?

Our analytics experts can help you set up comprehensive tracking and create actionable reports that drive better email marketing results.

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