SMS marketing vs e-mail marketing: which generates a better ROI?

Doubts about the strategy to adopt? Here's how to calculate the ROI of SMS and email marketing Are you about to launch a start-up, or do you already manage a brand? Then you definitely need to adopt marketing strategies to promote your products and services. Among the tools that offer the possibility of reaching a large audience in a simple, clear and effective way, SMS and e-mail stand out , which have always been highly appreciated by users. The ideal would be to use them in synergy to implement an integrated communication strategy, but what if there was a need to make a choice? In this case, in addition to making various other assessments, it is very useful to consider the ROI of SMS marketing and that of e-mail marketing , a parameter that we will look into specifically.




What is ROI and how is it calculated? ROI is a Estonia Phone Number List profitability indicator , aimed at evaluating the company's economic balance and measuring the company's ability to generate income. The ROI ( Return on Investment ) is the metric used to evaluate the return on investment , i.e. the profit or loss generated in relation to the sum that has been invested. Here is the formula that allows you to calculate ROI: ROI = [(Investment Revenue – Investment Cost) / Investment Cost] x 100 A practical example? If you invested 1,500 euros in a marketing campaign and generated 4,500 euros in revenue, the calculation to do is this: ROI = [(4,500 – 1,500) / 1,500] x 100 = 200% The amount invested is subtracted from the amount obtained and the result is divided by the cost of the investment. The number is then multiplied by 100 to obtain the ROI percentage . Obviously, a positive ROI tells us that the investment has generated a profit , while a negative ROI tells us that we are facing a net loss .





 In fact, it is therefore an important metric that allows you to evaluate the company's ability to efficiently use the resources available and measure the current profitability of the invested capital. Main features and benefits of email and SMS There are many factors that affect the ROI of marketing campaigns: in general, this increases with an improvement in the strategy. Let's compare two of them, examining their characteristics and possible advantages: SMS They are opened in 98% of cases and read quickly . They reach a large number of users because, as they do not require an internet connection, they can also be received by those who do not own a smartphone. They allow you to send different types of communications (activation of a service, promotions, etc.). They are customizable , for example with the recipient's name and content created specifically based on contact segmentation. They are programmable . Sending automatic SMS allows you to reach a large number of recipients at the strategically best time (for example just before the start of a promotion).