Email App Business

How Profitable Is An Email App Business? (Updated for 2024)

Pat Walls

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Updated: September 17th, 2024

How Profitable Is An Email App Business? (Updated for 2024)

So you want to start an email app business?

And the first question that came to your mind was, “well, are email app businesses actually profitable?”

With a market size of $4.03B - there’s plenty of business to go around.

Especially considering:

You could start a email app business with as low as $500
Based on our data, email app businesses generate an average of $775K per year

There’s money to be made. Don’t worry.

But, I don't want to spoil it all. Below we’ll cover everything you need to know when it comes to the profitability of a email app business.

Let’s dive in!

Is an email app business profitable?

Yes, an email app business is generally a profitable business. However, you still need to consider several factors since these things always impact the overall outcome.

For instance, since average revenue is $775K per year with an estimated gross margin of 83%, you could expect to recover your investment within 11 months or even less.

But of course, it all comes down to how much you earn compared to the potential revenues of your email app business.

To determine whether your business is profitable, you should earn more than your expenses in the beginning months. However, while you're in your first month, it can be challenging to know what to expect.

Therefore, you should maintain a record of your monthly expenses and income to determine whether you're meeting your goals. By doing this step, you can see how your email app business is doing and if any changes or adjustments need to be made to enhance or maintain your efforts.

Is an email app business worth it?

If you’re wondering if a email app business is worth it, the answer is a big YES. With email app businesses, you have the potential to earn $775K per year (this is based on data reported by real founders).

Further, you could have your initial investment back within months. Simply put, it’s a business worth a shot, especially if you have the resources and make the necessary efforts to achieve or surpass the target.

With a market size of $4.03B, it will be possible for you to build something that grows and turns into a flourishing business. As such, it’s the type of business you might want to consider starting.

Of course, you must learn and understand every aspect of running a email app business to ensure success. Still, as long as you have the initial investment and can endure a few months before your actual gains, this business could be worth it.

You might want to consider reading more specifics about successful email app businesses case studies.

Examples Of Profitable Email App Businesses

Here are a few examples of profitable email app businesses, and a few more details about them:

1. Baxter Inc. ($12K/year)

The founder was having a tough time managing his Gmail inbox when he came up with the idea of a dashboard. He then interviewed dozens of regular American adults to see if the idea was appealing. Soon, he found out that the majority of people preferred a simple tool rather than a dashboard. This motivated him to build Baxter.

Is it profitable? Yes
How much money it makes: $12K/year
How much did it cost to start: $50K

How A Non-Technical Founder Started A Profitable Chrome Extension For Gmail

A case study on the founder of Baxter, a browser extension that helps Gmail users organize their inboxes by unsubscribing from newsletters, deleting unneeded emails, and automatically labeling and organizing emails, which generated over $1,000 in monthly recurring revenue in just nine months and successfully acquired an existing Gmail Unsubscribe extension to drive organic user growth.

Read this case study

Read by 1,844 founders

2. antoniarasheva3614 ($1.2K/year)

Antonia Rasheva, an artist and designer by heart but tourist by profession, tapped into her love for abstract art to start a custom fashion and home products business in 2015. Despite initial financial roadblocks, she constantly advertises on social media, aiming to turn a $100/month profit into a sustainable full-time venture.

Is it profitable? Yes
How much money it makes: $1.2K/year

On Selling Custom-Designed Fashion And Home Products Online

This case study follows a Bulgarian artist and designer who sells custom products featuring her hand-painted designs, with an average monthly profit of $100, relying heavily on advertising via social media and offline to grow her business.

Read this case study

Read by 5,252 founders

3. Leave Me Alone ($120K/year)

These founders also run a web development agency. Leave Me Alone was born because they took their own advice and stuck to solving their own problems. Both were spending a lot of time sorting through emails, so they went searching for a service that would help them find and unsubscribe from the unwanted ones.

Found a few that would help for free, but a closer look revealed that they didn’t charge because they were selling all of their user's data for marketing. Faced with the dilemma of a messy inbox or all of their email data being exploited, they decided to build their own solution.

Is it profitable? Yes
How much money it makes: $120K/year
How much did it cost to start: $1K

We Built Our App From The Back Of A Bus And Grew It To 10,000 Users

Leave Me Alone, a web service that helps users easily unsubscribe from unwanted emails, launched in January 2019 and made $1,186 in revenue in its first month, with a successful Product Hunt launch and a focus on being an open startup contributing to its success.

Read this case study

Read by 13,305 founders

Learn more about starting an email app business:

Where to start?

-> How much does it cost to start an email app business?
-> Pros and cons of an email app business

Need inspiration?

-> Other email app business success stories
-> Marketing ideas for an email app business

Other resources

How much can you make with an email app business?

With a email app business, you can make an average of $775K revenue per year (based on data reported by real businesses).

You can start with an initial investment as low as $500. Then, with proper knowledge and sustained effort, you could have an ROI (return of investment) within 11 months.

How much does a email app business make a week?

Based on our data, average weekly revenue for a email app business ranges around $16.2K. As such, you could see monthly revenues of $64.6K.

To know if your email app business achieves the weekly profit target, you need to keep track of the total earnings you get per day. Afterward, you'll want to consider subtracting the expenses you have daily.

Learning your weekly profit can also show whether you're hitting your target goal for your email app business.

How much do email app businesses owners make?

The income of an email app business owner can vary depending on various factors such as location, size, competition, and the owner's business skills.

But to give you some idea, the weekly revenue of an established email app business is about $16.2K. But this can be lower or higher depending on so many factors - it's almost impossible to say exactly.

While the potential for earning a good income as an email app business owner exists, success in this field requires a commitment to providing quality products and services and building a strong reputation within the community.

Email App Business Profit Margins

Generally speaking, an email app business can expect profit margin of around 83%. Profit margins refer to the percentage of revenue that remains after deducting all expenses associated with running a business. In the case of an email app business, profit margins can vary depending on various factors, such as the type and quality of products sold, the size of the store, and the level of competition in the area.

However, these figures can vary depending on the pricing strategy, inventory management, and overall efficiency of the business. To maintain healthy profit margins, email app business owners must focus on managing costs, negotiating favorable supplier terms, and providing high-quality products and services to attract and retain customers. By doing so, email app business owners can ensure long-term sustainability and profitability for their business.

Email app business owner salary

The salary of an email app business owner is an unpredictable figure. It's significantly influenced by numerous factors, including the store's location, its size, and the degree of competition. An owner of a well-established email app business, in a prime position, might see an average weekly salary around the ballpark of $13.4K.

But it's worth noting, such numbers aren't always consistent. The earnings can vary wildly, potentially swinging by as much as 80% either way.

Achieving consistent success and maintaining a reliable income stream in this industry requires a deep commitment. It's imperative to offer high-quality products, deliver impeccable customer service, and nurture a trusted bond with the community you serve.

Conclusion

In a nutshell, based on many of our examples, a email app business may be a promising business to start - but the success of your email app business mostly depends on your effort and your approach.

If you focus on these, you'll have a much higher chance of a profitable email app business.

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Starting An Email App Business: Everything You Need To Know

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