Essential email marketing software buying information
Email marketing software enables the automation and management of email communication with prospects and customers, including generating mailing lists for sending bulk emails. It comes with production templates, campaign tracking, and customer relationship management features to ensure effective communication.
Email marketers use this software to communicate with their subscribers via personalized and relevant messages, such as newsletters, promotional offers, event invitations, and product updates.
Marisa Lather1, a marketing thought leader and brand strategist, encourages business leaders not to underestimate these systems. "You're not just buying a tool; you're investing in a scalable communication strategy," she says.
Most email marketing software solutions on the market are priced on a "per month" basis, ranging from as low as $7 up to $1,499+ per month.2
First-time buyers should begin evaluating with a budget, number of users, specific use cases, and necessary integrations in mind. Ensure you’ve consulted with stakeholders on a list of critical questions to help you evaluate email marketing software systems based on your needs, such as:
Does the software offer features for campaign scheduling, audience segmentation, and channel optimization to maximize reach and engagement?
Can the email marketing platform automate lead capture, scoring, and routing to ensure timely follow-up and personalized engagement?
What capabilities does email marketing tool offer for managing customer profiles and capturing relevant data points?
Does the software integrate with CRM systems or sales tools to ensure seamless handoff and alignment between marketing and sales teams?
What measurement and reporting capabilities does email marketing software offer to track campaign performance and ROI?
What are the most reviewed email marketing systems?
Capterra Shortlist identifies the top email marketing systems based on a proprietary blend of user ratings and popularity, helping small businesses efficiently find the most effective email marketing solution for their needs.3 Here are the five most reviewed products in our Capterra Shortlist for this category:
These rankings are determined by combining verified user ratings and publicly available web search popularity data:
Ratings score: Relative score of the software based on ratings given by users on Capterra, normalized for number and recency of reviews.
Popularity score: Relative popularity of software based on web search trends and products’ web presence.
What is email marketing software?
Email marketing software enables businesses to create, track, and send email campaigns to a targeted audience. It allows marketers to manage and automate various aspects of email marketing, including building and segmenting email lists, designing emails, scheduling and delivering them, and analyzing the results through various metrics.
The software can also help a small business monitor the effectiveness of its marketing campaigns and support the regular production of customer-oriented newsletters, the management of email templates for multiple campaigns or market segments, and ongoing customer relationship management efforts.
According to Gartner, the global market for email marketing is projected to expand from $7 billion in 2022 to $26.1 billion by 2030.4
Capterra covers 1,006 email marketing products and we published 11,734 reviews from email marketing software users in the past year.5 We'll draw from that proprietary data to highlight key considerations for businesses exploring email marketing software.
Pro tip: 5 signs you need to upgrade
Lather says it’s time to invest in a new system when your email marketing campaigns grow in complexity and volume. “And it's not just about your subscriber count,” she says. Here are some key indicators:
Campaign complexity and growth: Are you seeing a rapid increase in the number of emails you send? Are your customer segments multiplying? Are you juggling various content types for different audience groups? These are signs your campaigns are growing in complexity and you need something to scale while keeping it all personalized. Lather notes, “The speed at which you need to launch campaigns becomes crucial as you scale."
Deliverability issues: Are you facing declining deliverability rates? A specialized email marketing tool can boost your domain and IP reputation, improving the chances your emails reach inboxes.
Data demands: Can your current system handle customer data compliantly? If you're struggling with customer data management, dedicated software can ease your privacy concerns.
Workflow automation: Are you ready for creating automated series like welcome emails or re-engagement campaigns? A system can improve your workflow and enable one-click, trigger-based emails.
Analytics need: Are you looking for more in-depth insights? “Faster analytics, scoring, and lead management become essential as you grow, and a system with the right capabilities can do that," Lather points out.
In addition to these factors, consider upgrading your software if you are facing competitive pressures from rivals with advanced tools, experiencing a lack of smooth data sharing between your marketing tools, or dealing with an unsupportive vendor—or have concerns about their future stability.
Cost of email marketing software
Most email marketing software solutions on the market are priced on a "per month" basis, and their entry-level pricing plans start from $7 per month.2 Entry-level products include some common features such as list segmentation, email creation, and reporting, but will probably also have limitations when it comes to storage or number of users.
An enterprise product, which will typically cost $1499 or higher, may include additional email marketing features, such as AI content creation, bulk email, marketing automation, knowledge base, email automation, unlimited emails, SMS marketing, automation workflow, customer journey mapping, and priority customer support.
Lather warns buyers about potential hidden costs that might not be immediately apparent from the label price. These include fees for onboarding and training, charges for data transfers when switching systems, and caps on email sends or subscriber numbers.
There may also be limitations on the formats of your reports. "You might be able to download a PDF report, but if you want it in a spreadsheet format, it may cost you a little bit more because the provider wants you to use their analytics,” she explains. All of this can increase your total cost of ownership.
If your needs and budget are limited, consider free email marketing products. Capterra lists 333 free email marketing products and 575 email marketing products that offer a free trial.
Using a free trial or a free version of email marketing software offers the advantage of cost-effective evaluation, risk-free testing, and access to core features that can help businesses assess suitability without financial commitment.
Key email marketing features rated by users
All email marketing software tools include email campaign management, list management, and template management features. Most share various common features, such as campaign analytics, contact management, and campaign scheduling.
Core email marketing features
Email campaign management: Plan, execute, and analyze email marketing campaigns. 92% rate this feature as critical or highly important.
List management: Manage contacts across multiple mailing lists. 80% rate this feature as critical or highly important.
Template management: Create, save, and repurpose formatting for emails, forms, and other campaign elements. 80% rate this feature as critical or highly important.
Highly rated common email marketing features
Our analysis of proprietary review data reveals other common email marketing software features users rate as valuable:
Campaign scheduling: Set campaign schedules by selecting start, pause, and end dates. 86% rate this feature as critical or highly important.
Reporting/analytics: View and track pertinent metrics. 82% rate this feature as critical or highly important.
Contact management: Manage, organize, and store contact information. 81% rate this feature as critical or highly important.
Mobile-optimized email: Ensure the integrity of email formatting when viewed on mobile devices. 79% rate this feature as critical or highly important.
Campaign analytics: Track and interpret campaign performance metrics. 79% rate this feature as critical or highly important.
Customizable fields: Customize data fields to support various needs and use cases. 78% rate this feature as critical or highly important.
Subscriber management: Add or remove subscribers from mailing lists. 75% rate this feature as critical or highly important.
CAN-SPAM Compliance: Ensure all emails are compliant with anti-spam guidelines, as required by the CAN-SPAM Act. 69% rate this feature as critical or highly important.
Event-triggered actions: Automate predefined actions when specific events occur. 69% rate this feature as critical or highly important.
If you’re just starting out with email marketing, Lather suggests taking a measured approach. Begin with the basic functionalities to get your campaigns off the ground, and then grow where you need. “You might not need advanced features immediately, but still keep scalability in mind,” she says.
On the other hand, if you’re already running successful email campaigns, Lather suggests looking for features that can elevate your strategy and demonstrate ROI potential, such as increased efficiency, higher engagement rates, and more customer insights.
“Complex segmentation for highly targeted campaigns, dynamic and personalized content capabilities, content repurposing tools for efficiency, comprehensive analytics, and A/B testing functionalities, are some of the features you may need to invest in,” Lather says.
Top benefits of email marketing software identified by users
Tracks email campaign performance: Email marketing software commonly offers analytics and scheduling tools to help small businesses stop, start, and measure the performance of email marketing campaigns.
“Its ability to provide detailed analytics helps me determine what is working and how I can make adjustments to better grab the attention of my targeted audience.”
–Jenna L., studio manager; health, wellness, and fitness
Streamlines support processes: Reviewers say their email marketing tool has empowered their team to elevate customer interactions, streamline their support processes, and gain insights into customer needs.
“It has helped my management team to be able to manage sales activities but also to be able to observe and monitor better deals and tell you what your sales priorities would be.”
–Irma E., advisor, oil and energy
Generates leads: Automatically identify and save contact information for potential customers, facilitating lead generation and conversion rates for organizations.
“It's a fully featured software that allows me to create and send campaigns to leads/contacts.”
–Allen E., president, hospital and health care
Enhances customer service: Reviewers cite customer service as a key benefit of email marketing software that provides users with a clear and attentive onboarding process.
“It offers exceptional customer service and powerful tools that have helped me streamline my business processes and save a lot of time.”
–Dhruv C., manager, translation and localization
Common email marketing challenges identified by users
When it comes to the challenges associated with email marketing software, users cite spam filtering as a problematic area. Spam filtering in email marketing software can be an issue for users because it may prevent campaign emails from reaching recipients, reducing visibility and engagement. Businesses searching for email marketing software should consult with the software provider about what features they offer to combat spam filtering.
When selecting an email marketing system, discuss deliverability rates with vendors. Lather says, "That's the most basic reason why you are choosing a system. It has to deliver your emails." Ask about measures they have in place to optimize deliverability, such as smart recommendations, domain authentication, and IP warming.
Additionally, users say payments plans are also a common challenge. Pricing for email marketing software is often tiered and is based on a monthly subscription. It is important to note that some features may not appear on entry-level plans and users should get a complete overview of what features are or are not included in each plan. Users must also consider that some features may be accessible in a free trial but may not appear in a lower-tiered price plan.
In fact, product trials tend to play a primary role in the purchase decision according to 62% of buyers, followed closely by the vendor’s customer support (57%).6
What is email marketing used for?
Analysis of our extensive email marketing reviews highlight the most common use cases5:
Design emails based on templates: Businesses use email marketing software to generate attractive, customized content for emails and newsletters derived from pre-designed email templates.
Automate email management: Reviewers say email marketing software allows them to automate their workflow by eradicating manual tasks when creating, customizing, and sending outbound emails.
Interpret and measure performance: Email marketers can navigate between campaign types and then review them with detailed individual profiles or within a dashboard for a wider view with analytics.
Manage email campaigns: Reviewers say email marketing tools allow them to customize campaigns based on their customers' unique behaviors and preferences.
Lather says these functions can be especially helpful for attracting potential customers and engaging with current ones.
"We use email to deliver lead magnets, nurture existing clients, and warm up potential leads,” she says.
“The software helps us marketers understand what works by tracking engagement, while sales and service teams can better identify lead intent and respond thoughtfully in context."
Who uses email marketing software?
Email marketing software supports a wide variety of businesses depending on their end-user needs and go-to-market strategy. It is particularly useful for small-and-midsize-businesses (SMBs) that have lower-volume email marketing programs (50,000 contacts or 150,000 outbound emails) and fewer than three email marketers.4 Additionally, SMBs utilize email marketing tools to get up and running quickly by using templated communications. Monthly pricing models mean the barrier to entry is quite low for small businesses.
Analysis of reviews for email marketing software submitted to Capterra over the last year show that the most common industries using these tools are marketing and advertising, health, wellness and fitness, retail, and education. In addition, the majority of reviews (76%) come from employees of small businesses with less than 50 employees.
Lather offers additional insights into the industries leveraging email marketing. "E-commerce and retail are definitely at the top of the list," she says. "Any product-based company, especially SaaS businesses that frequently roll out updates, finds great value in email marketing."
She also highlights the importance of email marketing in sectors where timely, personalized communication is especially important:
Hospitality and travel: For sending critical updates and reservation information
Nonprofits and political organizations: For private, one-to-one messaging and fundraising efforts
Software companies: For providing product updates and usage tips
"In politics, email allows for more personal relationship-building," Lather explains. "You can share things through email that you might not say in a press conference, targeting your message to a specific demographic."
What to be aware of regarding email marketing software integration
Within the past year, over 172 user reviews of email marketing software cited a positive experience with the software’s CRM integration capabilities.5 By integrating successfully with a CRM application, email marketing software can become a valuable tool for improving customer interactions and support, and leveraging existing relationships to drive positive business outcomes.
Emphasizing the importance of CRM integration, Lather explains that it enables sales to better understand marketing activities. "Your sales team wants to know who is reading the emails and what they're doing afterwards," she says. "This insight allows them to respond thoughtfully and in context."
Aside from CRM software, analysis of our reviews database determined that project management tools and website builders also make up the top three categories of software that most commonly integrate with email marketing tools.
Email marketing software integrates with project management tools to streamline campaign planning, task delegation, and progress tracking, ensuring that email marketing initiatives are executed efficiently.
Furthermore, email marketing software can connect with website builders to create landing pages that automatically funnel data, such as subscriber email addresses, into the email marketing platform.
Recent trends in email marketing software
AI to unlock a greater utility of email marketing: Gartner projects significant growth for email marketing, which signals a huge acceleration in a stable market. AI is unlocking this optimism. Drivers for growth include increased efforts around personalization, integration with other channels, automation, and privacy compliance.4 GenAI features within email marketing platforms, typically serving as virtual assistants for content creation, will help email marketers complete tasks more quickly and effectively.
Learn more about how email marketing software can help your business
