In any and all channels of marketing, the most important aspect is the number of eyes seeing your collateral. In email marketing, it’s your subscriber list. But it’s not just about the size of your list—it’s about how quickly and sustainably it’s growing.
That’s where List Growth Rate comes in.
This crucial measure not only reflects the expansion of your audience but also provides insights into the effectiveness of your overall marketing approach.
So in this blog, we’ll explore what list growth rate is, why it’s important, and how you can maximize it to boost your email marketing initiatives.
Understanding List Growth Rate
List Growth Rate is the pace at which your email subscriber list is expanding over a specific period. It’s a net measure, taking into account new subscribers, unsubscribes, and bounces.
Components of List Growth
- New Subscribers: Individuals who opt into your email list.
- Unsubscribes: Those who choose to leave your list.
- Bounces: Email addresses that are no longer valid or reachable.
Tracking and Monitoring
Monitoring your list growth is crucial for understanding the health of your email marketing efforts. Many Email Service Providers (ESPs) offer built-in analytics for tracking list growth. For instance, Klaviyo provides a comprehensive dashboard where you can monitor your list growth over time, giving you valuable insights into the effectiveness of your subscriber acquisition strategies.
Formula
The basic formula for calculating List Growth Rate is:
List Growth Rate = [(New Subscribers – Unsubscribes) ÷ Total Subscribers] × 100
For example, if you started with 1000 subscribers, gained 100 new ones, had 20 unsubscribe in a month, your monthly list growth rate would be:
[(100 – 20) ÷ 1000] × 100 = 8%
Why Does Your List Growth Rate Matter?
Now we’ll discuss the benefits of a healthy List Growth Rate.
Audience Reach
A growing list means a wider audience for your messages, potentially leading to increased brand awareness and sales opportunities.
Revenue Potential and Improved ROI
More subscribers typically translate to more potential customers, which can lead to increased revenue. As your list grows, the cost per subscriber often decreases, improving your overall return on investment.
Engagement and Relationships
New subscribers often show higher engagement rates, bringing fresh energy to your email campaigns and providing opportunities to build new customer relationships.
Analytics and Insights
List growth rate can provide valuable insights into the overall effectiveness of your email marketing strategies. A consistently positive growth rate suggests that your acquisition strategies are working well, while a decline might indicate areas needing improvement.
6 Strategies to Boost Your List Growth Rate
Boosting your list growth rate is essential for expanding your reach and driving engagement, and these six strategies can help you effectively grow your email list.
1. Optimize Signup Forms
Your signup forms are the gateway to list growth. Make them irresistible!
Experiment with form designs and placements – what works on desktop might not on mobile. Above all, keep it simple. The easier it is to sign up, the more likely visitors will do so.
2. Offer Value
Why should visitors join your list? Give them a reason they can’t refuse. Exclusive discounts, freebies, or early product access can be powerful motivators.
But don’t just offer – communicate. Make your value proposition crystal clear at the signup point.
Tailor these offers to your audience’s needs. A well-crafted lead magnet that addresses a common industry pain point can work wonders.
3. Implement a Referral Program
Your current subscribers could be your best recruiters. Implement a referral program that rewards both the referrer and the new subscriber. The key is to make it simple and rewarding.
Consider a tiered reward system – the more referrals, the better the perks. This approach not only grows your list but also strengthens relationships with existing subscribers.
4. Analyze Visitor Behavior
Your website analytics hold the key to optimization. Which pages see the most traffic? Where do visitors commonly exit? These are prime spots for signup opportunities.
Don’t guess.
Test.
A/B testing will refine your strategies over time. Use these insights to place your signup forms where they’re most likely to be seen and used.
5. Regular List Cleaning
Counter-intuitive as it may seem, removing unengaged subscribers can boost your growth rate. A clean list improves deliverability and reduces spam complaints.
Before removing inactive subscribers, try a re-engagement campaign. You might rekindle some relationships while cleaning your list. Remember, a smaller, engaged list is more valuable than a large, unresponsive one.
6. Adopt an Omnichannel Approach
Your website isn’t the only place to grow your list. Use social media, blogs, and even physical locations. QR codes can bridge the gap between offline and online.
If you have a strong online presence, use Instagram’s “Swipe Up” feature or X’s (Formerly Twitter) lead generation cards. Attending an event? Collect emails in person and sync them with your digital list. The more touchpoints you create, the more opportunities for growth.
Ready yet?
Remember, sustainable list growth is about quality as well as quantity. Focus on attracting and retaining engaged subscribers who are genuinely interested in your brand. With the right approach, you can build a thriving email list that serves as a powerful asset for your business.
Keep monitoring your List Growth Rate, experimenting with different strategies, and refining your approach. Your email marketing success is built one subscriber at a time!
