Email Marketing

Is email marketing still worth it for small businesses in the UK?

By Mike Gwynne 6 min read
Is email marketing still worth it for small businesses in the UK?
What this article covers

The short answer is yes, but not the way most small businesses do it. Email's ROI figures are strong, but they assume you're doing the right things with the right list.

Every few years someone declares email marketing to be dead. Social media killed it. Then apps killed it. Then TikTok killed it. And yet the data keeps saying the same thing: email consistently delivers a higher return than any other digital marketing channel.

The most widely cited figure is around £36 returned for every £1 spent. Even if that number varies depending on the source and the industry, the direction of travel is consistent. Email works. The question isn't whether it's worth doing. The question is why most small businesses get poor results from it, and what that means for you.

I've set up email marketing in North Wales for businesses across a range of sectors, and the honest answer is that the ones who get poor results almost always share the same pattern: they treat email as a broadcast channel rather than a relationship channel, and they only show up when they want something.

The honest reason most small businesses don't see results

I've worked with plenty of small business owners who've tried email marketing and come away unimpressed. When I dig into what they were doing, the pattern is usually the same. They built a list slowly, didn't email it for months, sent a promotional blast announcing a sale or new service, got a few clicks and no sales, and concluded email marketing doesn't work for businesses like theirs.

That's not email marketing failing. That's the wrong approach producing predictable results.

Email works when your list is engaged, when people actually want to hear from you, and when what you send them gives them a reason to pay attention. A cold, neglected list of 500 people who've forgotten they signed up for anything will perform worse than a warm, active list of 80 people who regularly open your emails.

List quality beats list size every time

This is the single most important thing to understand about email marketing for small businesses. A list of 200 people who know you, like what you do, and actually open your emails is more valuable than a list of 2,000 people scraped from business cards collected at a networking event five years ago.

Engagement rate is what matters. Open rates, click rates, replies, conversions from email. These are driven by how relevant you are to the person reading, and how consistently you show up. If you've gone silent for six months and then email your list to announce a Christmas promotion, you're not email marketing. You're cold emailing people who've already opted in, which is still cold emailing.

Build your list intentionally. Offer something worth signing up for. A simple lead magnet (a useful guide, a checklist, a discount code), a clear reason why someone should want to hear from you regularly, and a welcome sequence that reinforces that reason. That's the foundation.

Why social media reach isn't the alternative it looks like

The common objection is: "I've got 1,400 followers on Facebook, so I'll just post there instead."

The problem is that you don't control who sees that post. Facebook and Instagram decide. Organic reach on Facebook for business pages has been declining for years. A reasonable estimate now is that between 2% and 5% of your followers will see any given post, and that's before you factor in the algorithm changes that happened last month, or the ones that will happen next month.

Your email list is yours. If someone is on it, they get your email. They might not open it, but it lands in their inbox. No algorithm decides your email isn't worth showing today. No platform can throttle your reach to push you toward paid ads.

This is one of the most important differences in digital marketing and one of the least talked about: social media is rented land. You build an audience on a platform that can change its rules, reduce your reach, or disappear entirely. Your email list is an asset you own outright. It can't be taken away.

This matters particularly for small businesses where the relationship is everything. A local B&B, an independent retailer, a sole trader accountant: these businesses win on trust and connection. Email is how you maintain that between transactions, without being at the mercy of a social platform's business model.

What a basic email system looks like for an SME

You don't need complex software or a dedicated marketing team. A basic but effective email setup for a small business has three components.

The first is a list you actively build. Add a signup form to your website, mention your email list to customers, include a reason to sign up ("I send a monthly update with tips on X and occasional offers for subscribers"). Don't buy lists, don't import everyone who's ever emailed you without permission, and don't add people to marketing emails without their explicit consent.

The second is a welcome sequence. When someone signs up, they should automatically receive a short series of emails over the following week or two: one email that delivers whatever you promised when they signed up, one that tells them a bit about who you are and how you work, and one that explains what they can expect from you going forward. This is automated, so you set it up once and it runs by itself. It's also where most of the value in email marketing lives, because people are most engaged immediately after signing up.

The third is a regular send. This doesn't have to be weekly. For most small businesses, once or twice a month is enough. The key is consistency. If you tell people you'll send a monthly update, send a monthly update. Show up when you said you would.

For a detailed look at how automation works in practice, read email automation for small businesses.

The tools are affordable and not complicated

Mailchimp has a free plan that works for lists up to 500 contacts. MailerLite is similar and often easier to use. Klaviyo is excellent if you run an e-commerce store. For most North Wales SMEs, any of the entry-level plans on these platforms will do everything you need for £10-£20 a month, or free to start.

The barrier to email marketing for small businesses isn't cost. It's the time it takes to set up properly, and the discipline to show up consistently once it's running. That's a fair trade-off when the alternative is spending £300 a month on social ads that you don't fully control.

Is it worth it for your business specifically?

Email marketing is worth it if you have (or can build) a list of people who genuinely want to hear from you, if you have something useful to say on a reasonably consistent basis, and if you can commit to setting it up properly rather than sending an occasional blast and hoping for the best.

It's less useful if you sell a one-time product with no repeat purchase potential, or if your customers have no reason to stay in touch between purchases. But for most service businesses, tradespeople, retailers, hospitality businesses, and consultants in North Wales, maintaining an email relationship with past customers and warm prospects is one of the most cost-effective things you can do.

Read email marketing for North Wales small businesses for more on how this works in a local context.

If you want help setting up a proper email system, from list building to automation to regular sends, my email marketing service covers all of it. You'll end up with something that runs largely on autopilot and actually earns its keep.

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Mike Gwynne
Mike Gwynne
Freelance Digital Marketing Consultant — 20+ years experience in Google Ads, SEO & email marketing. Based in Llandudno, North Wales.
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