Which type of digital marketing do you think brings back the most returns on your investment? Most business owners would think it’s search engine marketing or social media—some platform that reaches customers directly—but what if we told you the most effective form of online marketing is one of the oldest.
It might surprise you that email marketing is actually one of the most effective forms of digital marketing for modern businesses. In fact, studies have shown email marketing generates an incredible $42 for every $1 spent, and that’s on average!
5 successful email marketing strategies for tax prep services
However, if you want to see these amazing returns for your tax prep service, you have to make the most of your email marketing strategies. Here are five successful email marketing strategies for your tax prep service that might help you achieve some incredible returns on your marketing investment.
1. Know your audience
Whatever the type of marketing, the key to a successful strategy is to know your audience. You can have the most well-written, beautifully designed email ever made, but if you’re sending tax prep information to middle schoolers, your success rate isn’t going to be very high. They don’t pay taxes!
If you don’t know your audience, you could fall into a “sending tax advice to middle schoolers” problem. There’s no “one size fits all” email message that works for every client. Some might be interested in personal taxes, while others might need business help. Some might just want advice, while others need more in-depth assistance.
Understanding who your audience is will help you send the right message to the right person at the right time—and that’s the true essence of email marketing. So, how do you send the right email to the right person….?
2. Segment your contacts
Contact segmentation is how you make sure you send the right email to the right contact every time.
Instead of one long (hopefully) email contact list, you can split your contact list into several categories based on interests or other information.
Here are some of the most common email contact segmentation strategies:
- Demographics – age, gender, company position, income level, etc.
- Previous tax services – What type of service did the client get last year?
- Survey or quiz results – Ask your audience what type of content they’re interested in.
- Email engagement – Who’s more likely to open, read, and click emails.
- Time since last purchase – Loyal customers who hire your services every year vs. clients who might have gone somewhere.
You’re welcome to make your own audience segments based on data you collect, but these are a good start.
For example, if you notice that a client didn’t hire your services last tax season, you can put them in the “2+ years” category. Then, when tax season comes around this year, you can send the entire segment an email that says, “We missed you! File your taxes with us this season.”
Showing that you realized they didn’t come back this year is more personal than sending them a generic, boring email.
Clients like when they feel a brand knows them. Audience segmentation is a great way to show your contacts you know them by sending personalized content. You’ll definitely feel the benefits, as personalization has been shown to increase ROI.
3. Send regular emails
For most clients who need their personal taxes done, they only need your services once per year, but that doesn’t mean they should only think about you once per year. Sending regular emails is a necessity for businesses that perform annual services, like tax prep companies.
Keeping your brand at the forefront of your clients’ minds is a great way to ensure they come back year after year. A lot can happen in a year, and you don’t want them to forget about you!
Taxes aren’t something to just worry about in April. They should be considered all year long. Use your email marketing as a way to remind clients to think about their taxes all year. Send regular educational emails or newsletters that teach your subscribers about tax nuances and best tips.
Whenever a client gets your email every week, month, or whatever frequency you decide, they’ll remember your company. Then, when tax season does finally come about, your name will be in the front of their minds.
As an added bonus, with all the information you’re providing, your clients will be much more prepared for tax season, which will help you when April comes around.
4. Use mobile-friendly email designs
A whopping 85% of people check emails primarily on their smartphones. What does that mean for tax prep service companies who want to start an email marketing campaign? Your emails need to look fantastic on mobile devices!
It’s easy enough to write a text-only email and send it to your contact list, but most marketing emails contain images, videos, or designs that engage readers and capture their attention. All of those elements need to be optimized for mobile if you want your emails to be successful.
If you’re not a designer, that’s okay! You can still get professional-grade, mobile-friendly designs without the effort using tax services flyer templates. Just visit a website like PosterMyWall, choose the template that best fits your business and message, insert your information, and you’re ready to send!
5. Track analytics
Email marketing runs on data. For example, if you want to segment your contact list (which you definitely should), you need to know how readers interact with your emails, what information interests them, how they view emails, and much, much more. The only way to get that information is to track analytics.
Not only does tracking analytics help you personalize your email messaging, but it can also help you determine whether your campaign is successful. Here are a few key performance indicators (KPI) you should track to determine the success of your campaigns:
- Open rates
- Clickthrough rates
- Bounce rates
For example, if you send 10,000 emails but only 10 get opened, you know your strategy could use a little work. Perhaps you tweak the subject line, and your next email gets 500 opens. You know whatever change you made was positive. Keep making changes, watching the data, and improving your email marketing strategies. That’s how you build a winning email marketing campaign for your tax prep service.
Promote your tax prep service with a great email marketing strategy
Email marketing can be your most powerful tool or frustrating waste of money. It all depends on the strategies you use. If you understand your audience, segment your contact list, personalize your messaging, send regular messaging, create professional mobile-friendly designs, and track analytics, maybe your tax prep service will be able to enjoy some of that 4,200% ROI enjoyed by companies around the world.