Email marketing is, by a significant margin, the highest-ROI digital marketing channel available to small businesses. Research consistently shows an average return of $42 for every $1 spent on email marketing. Yet most small business owners either aren't using it at all, or are using it so inconsistently that they're barely scratching the surface of its potential.
Mailchimp is the platform I recommend to most of my small business clients because it has a generous free tier, an intuitive interface, and powerful automation capabilities that don't require any technical knowledge to use. Here's exactly how I set it up for a new client.
Step 1: Build Your List the Right Way
Before you can send emails, you need subscribers. The most effective ways to build your list as a small business are: adding a signup form to your website (I integrate this directly into every site I build), offering a lead magnet (a free resource, discount, or checklist in exchange for an email address), and importing existing customers with their permission.
Never buy email lists. Beyond being ineffective, it can get your account suspended and damage your sender reputation, making it harder for your legitimate emails to reach inboxes.
Step 2: Set Up Your Welcome Sequence
The welcome email is the most-opened email you will ever send — open rates of 50-60% are common, compared to 20-25% for regular campaigns. The moment someone joins your list, they are most engaged and most interested in hearing from you. A well-crafted welcome sequence (3-5 emails sent over the first 1-2 weeks) introduces your brand, delivers on any promise you made to get the signup, and guides new subscribers toward becoming customers.
In Mailchimp, this is set up as an automated "Customer Journey" that triggers the moment someone subscribes — no manual work required after the initial setup.
Step 3: Segment Your Audience
Not all subscribers are the same. A customer who bought from you last week has different needs than someone who signed up six months ago and never purchased. Mailchimp's segmentation tools allow you to send different messages to different groups — dramatically improving relevance, open rates, and conversions.
Start with simple segments: new subscribers, active customers, and lapsed customers (people who haven't engaged in 90+ days). Each group should receive different messaging tailored to where they are in their relationship with your business.
Step 4: Automate Your Re-Engagement Campaign
Every email list has inactive subscribers — people who signed up but haven't opened an email in months. Rather than letting them drag down your open rates (which affects deliverability), set up an automated re-engagement sequence. Send a series of 2-3 emails specifically designed to win them back, and if they still don't engage, remove them from your list. A smaller, engaged list always outperforms a large, disengaged one.
Step 5: Track What Matters
Mailchimp provides detailed analytics on every campaign: open rates, click rates, unsubscribes, and revenue generated (if you have e-commerce connected). The key metrics to watch are your open rate (industry average is around 21%) and your click-through rate (around 2.6%). If you're below these benchmarks, your subject lines or content need work. If you're above them, double down on what's working.
Ready to Set This Up?
Setting up a complete Mailchimp system — from list building to automated sequences to segmentation — typically takes me about a week for a new client. If you'd like to have this done for your business, let's connect and discuss your needs.