Everything old is new again, it would seem. The big deal in the content economy isn’t Spotify or TikTok, it’s a new twist on one of the Internet’s founding aspects: the email newsletter.
Spurred on by creator-centric newsletter publishing app Substack, the email newsletter has become big business again. Started in 2017, it has grown to 20 million monthly active subscribers, with its top 10 creators earning $25 million collectively as of 2023.
If you are a business, you have a contact list. Every business needs one if they don’t have one already. If you aren’t monetising that contact list by sending out regular newsletters or email communications, you are leaving money on the table.
Why Email Newsletters?
Over 376 billion emails will be sent and received daily worldwide in 2025, a 23% increase over 2020. 99% of email users check their inboxes at least once per day.
According to a report by Whop about ConvertKit, newsletters garner a 45% open rate compared with 10% for social media. The report also showed that newsletters were the most popular form of content at 58%, followed by blog posts at 51% and educational courses at 30%.
Email newsletter engagement sat at 27%, followed far behind by Instagram (15%) and Facebook (12%).
According to a Beehiiv report, newsletters enjoy open rates of 38.7%, with the welcome or onboarding email showing healthy open rates of 45%. Venture capital newsletters had the highest engagement rates at 50.4%, followed by sports newsletters at 47.5% and food & drink newsletters at 45.3%. Topics of the most interest to newsletter subscribers are films, psychology, and gaming.
If that doesn’t convince you that email marketing is a good idea, think about the $42 of average return on every dollar spent via email advertising.
That’s not to mention you can also charge subscriptions for your newsletters or gain sponsorships from other brands, opening up another revenue stream for your business.
So why are newsletters so popular and gaining popularity despite the advancement in other forms of social media?
The Power of the Opt-In
Unlike every other type of advertising online, newsletters are entirely opt-in. You must agree to sign up for a mailing list; and users have the ability to tune out by unsubscribing. That way, people can curate their content to their liking. If the email newsletter is not fit for their purpose, they can get rid of it just as easily.
No matter whether the email format is news, special offers, link curation, or digests, newsletter subscribers were 16x more likely to be receptive to and engage with newsletter ads. Since people are opted in, they find ads and other calls to action far more relevant than those seen on social media or other forms of internet advertising. In fact, 86% of U.S. adults want to get promotional emails - not informational or educational emails - promotional emails at least once per month according to Marketing Sherpa. 54% of brands send emails at least 2-4 times a month, with 32% sending at least once per month.
Emails can also be personalised to individual subscribers using segmentation, driven by automation. If a user hasn’t visited your site (or logged in) in a while, you can send them a personalised discount offer. You can wish them Happy Birthday. You can send them cat videos, if you have them down as a cat owner. The possibilities are only limited by your imagination. Also, other forms of marketing can’t really do that.
37% of marketers say that email is the most effective channel for customer loyalty and retention, and it’s spurred on by an email reader giving your brand full attention and laser focus; at least for a minute or two. Can’t say that for the perpetual doom scroller…
Monetising Your Database
If your business already has a database of customers - even a small business of 50 or 100 contacts - it’s well worth setting up a newsletter and inviting them to opt-in (don’t assume they want to, just because you talked to them once: it’s bad etiquette and against the law.)
Using an email marketing platform like Mailchimp (which has a dominant 65% market share), Klayvio, or ConstantContact is simple to set up and may even offer a limited-time free trial, so you can evaluate whether it’s the right fit for you.
Setting your email newsletters up for transactional emails based on triggers can also drive engagement and sales - even the humble “welcome” email gets you an average of 45% open rates, which is far more enticing than PPC or even long-term SEO engagement.
Are you leaving money on the table by not sending out regular newsletters? The verdict seems to be in.
Want your newsletters written right, with high conversions and industry leading open rates? Get I Sell Words on the case!