I'm gonna share review some of the insights behind cold outbound emailing and probably is a little bit different date than you think let's say that I'm writing a thousand emails and that a thousand emails that I'm reaching a thousand people with let's assume that only 4% convert of them into true a potential opportunity that means I got 40 people out of those thousands that are really interested and let's say out of that 40% for 40 people 20% actually convert into a win that means at this stake I got about 8 people out of those thousand
that converts into an opportunity now let's say that 8 these 8 people on average bought a 10 thousand dollar deal that means that generated 80 thousand dollars in revenue right well this has been for ages and ages this has been the math that we've looked at and what we said is like Oh in order to generate 100 the sixty thousand dollars worth of revenue maybe I need to double this to 2k if I want to make this 160 K but we've lost sight on something and that side is the other side of the coin what
is happening here is that no longer carriages look at the positive metrics we also have to look at the negative metrics now if I get a thousand emails from you right a thousand emails is sent to a thousand people I want to ask you if you get a hundred emails every day how many times will you hit unsubscribe would you think it's okay if I say only 1% will hit unsubscribe will you be okay with that because I can tell you if you only out of a hundred emails hit unsubscribe once then I can tell
you what that looks like that is what one percent conversion looks like now in order to address a thousand people let's say give or take I'm sending them 10 emails 10 emails to convert today we're right around 12 to 15 emails are needed for conversion so let's say I use 10 if I do 0.99 to the power of 10 do you know what that results into that out of those thousand people I only have 90 percent of the database left or nine hundred people are left that I can address now let's say that I'm not
using one of these campaigns but I have either six sdrs doing it at the same time or one as they are doing it six times a year so what I'm now gonna do is I'm gonna do this time 60.9 to the power of 6 equals 53% that means if I have one SDR sending six campaigns out a year targeting the thousand people that at the end of that I not only have an opportunity to have 180 K win but as in essence I have lost 47% of my database in the process of trying to acquire
that revenue we need to consider this we need to understand that with that we've eliminated or we've reduced our total available market and to the tune of 47% that is significant now you maybe want to argue some of these numbers I get that but the point is that when you start masked me emailing people in your outbound campaign you're reducing your total available market and you'd better calculate out what the cost is of winning at eighty thousand dollars before you start with that all I want to give you is an insight on some of the
science that we can now start applying to our email our bounding that you need to think about
