Why Your Email List Might Be Costing You More Than It Makes
I’ve sat down with dozens of Brisbane business owners—from electricians in Coorparoo to boutique shop owners in Paddington—who all say the same thing: "I send emails to my list, but I’m not sure if anyone is actually buying anymore."
When we look under the hood of their email systems, we usually find the same problem. They have a list of 5,000 people, but 3,000 of them haven't opened an email in two years.
In the marketing world, people call the fix for this a "sunset policy." But let’s call it what it actually is: Stop paying for dead weight.
A sunset policy is simply a plan to stop sending emails to people who aren't interested in your business anymore. It sounds counterintuitive—why would you want fewer people on your list? But if you want more phone calls and more sales, cleaning your list is one of the smartest financial moves you can make.
The Real Cost of a "Dirty" List
Most small business owners think that having a bigger email list is always better. They see that number in their dashboard and feel like their business is growing.
Here is the cold, hard truth: Google, BigPond, and Outlook are watching you. If you send 1,000 emails and only 50 people open them, these providers start to think you are sending junk. Eventually, they stop putting your emails in the main inbox and start shoving them into the "Promotions" tab or, worse, the Spam folder.
When that happens, even your best customers—the ones who actually want to spend money with you—stop seeing your messages.
Beyond that, there is the literal cost. Most email software charges you based on the number of people on your list. If you are paying $150 a month to host 5,000 names, but 2,000 of them are "dead," you are effectively throwing $60 a month into the bin. Over a year, that’s $720 you could have spent on local Google ads or a new piece of equipment. Understanding email platform costs is the first step to making sure your marketing budget actually delivers a return.
How to Tell Who Is "Dead Weight"
Before you start deleting people, you need to look at the data. In my experience, a "dead" subscriber is someone who hasn't interacted with your business in a specific timeframe.
For a high-frequency business like a café or a retail shop, that might be 3 months. For a tradie like a plumber or an aircon technician where people only need you once or twice a year, that timeframe might be 12 to 18 months.
Here is the data you should look at: 1. Last Open Date: When was the last time they even looked at an email from you? 2. Last Click Date: When was the last time they clicked a link to see a price or a service? 3. Last Purchase Date: If your systems are linked, when did they last give you money?
If someone hasn't opened an email in 6 months, the chances of them suddenly deciding to buy from you because of your next newsletter are slim to none. It’s time to move them toward the "sunset."
Step 1: The "Are You Still There?" Campaign
Don't just delete people immediately. Give them one last chance to stay. We call this a re-engagement campaign.
I recently worked with a landscaping business in Kenmore. They had about 800 people on their list who hadn't opened an email in over a year. Instead of just deleting them, we sent a very simple, plain-text email with the subject line: "Should I stop emailing you?"
The email said: "Hi [Name], I noticed you haven't opened our updates in a while. I don't want to clutter your inbox if you're no longer interested in garden maintenance. If you still want to hear from us, just click the button below. If not, you don't have to do anything—we'll remove you from the list in 7 days to save you the hassle."
About 10% of those people clicked the button. Those are 80 potential customers they saved. The other 90%? They were gone, and that’s a good thing. By removing them, the landscaper ensured that their future emails actually make sales because they were only talking to people who cared.
Step 2: The Goodbye Phase
If they don't click that button in your "last chance" email, you must be disciplined. You move them to a "Suppression List." This means you keep their data (so you don't accidentally add them back later), but you stop sending them your weekly or monthly updates.
This immediately improves your "reputation" with email providers. When Google sees that 40% of your recipients are opening your emails instead of 10%, they start treating you like a VIP. Your emails move back to the top of the inbox, and your sales start to climb again.
When Should You Do This?
If you haven't cleaned your list in the last 12 months, you should do it today.
I’ve seen businesses in Brisbane see a 20-30% increase in their total sales from email just by cleaning out the junk. It sounds crazy—sending to fewer people results in more money—but the data doesn't lie. When the right people see your message, you win.
Common Fears (And Why They Are Wrong)
"But I worked hard to get those 5,000 subscribers!" I get it. You paid for ads, you asked people at the counter, you ran competitions. It feels like losing progress. But a list of 5,000 people who ignore you is actually a liability, not an asset. It’s like keeping 100 broken tools in your van just because you paid for them once. They’re taking up space and making it harder to find the tools that actually work.
"What if they want to buy from me in three years?" If they want to buy from you in three years, they will find you on Google or Facebook. Keeping them on a list they aren't reading for three years only hurts your ability to reach the people who want to buy now.
Summary Checklist for Small Business Owners
1. Check your stats: How many people haven't opened an email in 6-12 months? 2. Calculate the waste: Are you paying for a higher software tier because of these inactive people? 3. Send a "Last Chance" email: Give them one week to click a link to stay on the list. 4. Delete the rest: Stop sending to anyone who didn't respond. 5. Repeat every 6 months: Make list cleaning a part of your business routine.
Marketing shouldn't be about vanity metrics like how big your list is. It should be about how many phone calls you get and how much money is in the bank at the end of the month. Cleaning your list is the fastest way to stop wasting money and start seeing results again.
Stop guessing and start making sure your emails actually make money. If you’re too busy running your business to mess around with email segments and cleanup, that’s where we come in.
Want us to handle your email marketing and list management? At Local Marketing Group, we help Brisbane businesses get more customers without the technical headache.