ROI Of Email Validation: Why Is It Important?

Email Validation

ROI is the rate of return on investment. This is a metric that can be used to measure the effectiveness of advertising investments, in our case investments in email verification services. It should be immediately noted that the opinions of marketers about roi email validation differ. Proponents believe this metric is important in determining strategy.

This way you can quickly and accurately assess the value of your investment. Opponents consider this indicator to be subjective, referring to the bias of specialists involved in calculating the coefficient. Allegedly, there is a desire to bring their usefulness to the fore. And you can easily add this subjective element to a flexible formula.

But no matter how different opinions on this matter are, if you have already started using valid email verification, your top priority is determining how effective it is.

In this guide, we are going to talk about what is the cost-benefit of checking email. But in order to understand this, you need to figure out what is email verification in the first place, and what types of checks exist today.

Email Verification: Basic Concept(What is Email Validation?)

The success of any marketing campaign organized through an email channel directly depends on how well the mailing base is prepared. The leading part here is played not even by the number of your subscribers, but by their delivery status. For example, the content is prepared for your list that has about 1,000 accounts. But what’s the use of mailing if only 2/3 of them get your emails? And it’s not a sure bet that those who still receive them will open the incoming message to read. Well, the cherry on top is a question: how many subscribers from those who opened the letter will take any action? Whether it is following a link to a website, calling a company, placing an order. In this sales funnel, verifying an email address is real and important just as a task of “mining” target customers.

Let’s Calculate The Payback Of One Email Address (What’s an Email Worth to You?)

Roi email validation is the value of one account from the list to your business. To determine this, it is necessary to consider two aspects, such as:

  1. lifetime value of 1 subscriber;
  2. how much did it cost to purchase this subscriber.

In addition, you should determine what function the email channel performs in each specific case: sales promotion, general communication, or delivery of content and advertising.

Let’s say you’re using email for e-commerce. You have 2,500 accounts on your list, 1% conversion, $50 average check. It turns out that one campaign costs $1,250. Given the fact that you send newsletters 3 times a month, you get $45,000 a year. Dividing this amount by the number of contacts on your list, we get $18 per email address.

Also, when calculating, consider how much you spend on advertising for your brand, as well as on direct mail.

Email Verification: Variations(Types of email verification)

The purpose of the service that validates email data is to provide a clean contact list, where addresses have the status “Deliverable”. Ideally, your list should only include those accounts to which real people are assigned, your target customers. That is, an audience that is really interested in your product / service. For this, basic tools are used. They determine the validity of an address or address list. The validity means that the email address exists and was entered correctly during registration. The entry is first checked for syntax errors. Here the prefix part of the name and the domain are checked separately. The basic options should also include account deduplication, that is, removing duplicate addresses in the list.

When it comes to valid email verification, one cannot do without an extended system of measures, such as: checking the domain and MX records for validity, removing spam traps and so-called “dead” accounts. In addition, most premium services offer the integration of a validation API into the corporate system or client’s website. An effective service guarantees high rates of marketing campaigns deliverability – from 95%. The premium email address checker is capable of producing 98.5% results.

Email Verifier: Price Aspect(How much does email verification cost)

Of course, when you need to verify an email address is real, then the choice of a quality service depends not only on the available platform functionality. The price issue is also important. Professional software is obliged to offer a free trial or a certain number of checks without payment. For example, the cloud service Proofy provides all new users with 500 free checks for verification. You can also get 100K bulk verifications for free. At the same time, the price of one check when connecting to a paid tariff plan starts from $0.006. So checking 35,000 email addresses only costs $50. In addition, the company offers to get up to 40% discount when using their promotional codes..

ROI (What is ROI?)

Some experts call this coefficient ROMI (Return on Marketing Investment), while the calculation formulas are similar.

There are several ways to calculate ROI. The most popular formula is:

ROI = (x – y) / y*100%, where

? – investment income;

y – investment amount.

If the resulting value is less than 0, then the investment did not pay off.

Note that this formula is the most primitive, and therefore is used only to determine whether the investment has paid off or not. For a deeper analysis of ROI, a different formula is used:

ROI (period) = (x + y – z) / z, where

? – investment amount at the end of the period;

y – income for the selected period;

z – amount of investment made.

This formula makes it possible to calculate the profitability for the period of ownership of the asset. With its help you can find out how much the size of the budget contribution has grown by the end of the period under review.

ROI Of Email Verification (What about ROI of verification?)

Calculation of roi email validation can be done either manually or automatically. The first method is good for understanding what it is and where it comes from. However, the human factor can affect the accuracy of the result, and you will waste a lot of time and effort. Modern email verification services offer to calculate ROI automatically. They are based on statistical data obtained from various metrics. This way the result is complete and clear.

Email Address Verifier With The Highest ROI (How to choose the right email address checker with the highest ROI)

Among the huge number of services that perfectly understand what is email verification, we recommend Proofy. Its advantages are: high accuracy of verification, deliverability of letters in 98.5% of cases, segmentation of target audience, protection of the client’s reputation as a reliable sender, loyal pricing policy. Follow the link  right now! And you will find out what a high roi email validation is.