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Mailchimp vs SendGrid
November 12, 2023 | Author: Sandeep Sharma
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Online email marketing solution to manage contacts, send emails and track results. Offers plug-ins for other programs. Get insight about your subscribers and keep your contacts in one place with subscriber profiles. MailChimp helps you email the right people at the right time. In addition to our built-in segmentation and targeting options, you can automate triggered emails based on your subscribers' website activity.
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SendGrid's cloud-based email infrastructure relieves businesses of the cost and complexity of maintaining custom email systems. SendGrid provides reliable delivery, scalability and real-time analytics along with flexible API's that make custom integration a breeze.
MailChimp and SendGrid are both popular email marketing platforms, but they serve different purposes and target different audiences:
1. Email Marketing vs Transactional Email: MailChimp is primarily focused on email marketing campaigns, allowing businesses to create and send engaging newsletters, promotional emails, and automated campaigns. It provides a user-friendly interface, drag-and-drop email builder, and advanced features like segmentation and automation. On the other hand, SendGrid specializes in transactional email delivery, enabling businesses to send personalized, real-time emails such as order confirmations, account notifications, and password resets. It offers robust email infrastructure and APIs for developers.
2. Pricing and Plans: MailChimp offers a freemium model with a free plan for up to a certain number of subscribers, along with paid plans based on the number of subscribers and advanced features required. SendGrid offers flexible pricing based on the volume of emails sent per month, making it suitable for businesses with varying email sending needs.
3. Delivery and Scalability: SendGrid's primary focus on transactional email means it prioritizes email deliverability and scalability. It provides robust infrastructure and features like dedicated IP addresses, email validation, and reputation monitoring to ensure high deliverability rates and handle large volumes of transactional emails. MailChimp also emphasizes deliverability but is more geared towards marketing campaigns rather than high-volume transactional emails.
4. Additional Features: MailChimp offers a range of additional features beyond email marketing, such as landing pages, signup forms, audience insights, and social media integration. It provides a comprehensive marketing platform. SendGrid, on the other hand, focuses primarily on email delivery and provides features like email analytics, SMTP relay, and email templates for transactional emails.
See also: Top 10 Email Marketing Solutions
1. Email Marketing vs Transactional Email: MailChimp is primarily focused on email marketing campaigns, allowing businesses to create and send engaging newsletters, promotional emails, and automated campaigns. It provides a user-friendly interface, drag-and-drop email builder, and advanced features like segmentation and automation. On the other hand, SendGrid specializes in transactional email delivery, enabling businesses to send personalized, real-time emails such as order confirmations, account notifications, and password resets. It offers robust email infrastructure and APIs for developers.
2. Pricing and Plans: MailChimp offers a freemium model with a free plan for up to a certain number of subscribers, along with paid plans based on the number of subscribers and advanced features required. SendGrid offers flexible pricing based on the volume of emails sent per month, making it suitable for businesses with varying email sending needs.
3. Delivery and Scalability: SendGrid's primary focus on transactional email means it prioritizes email deliverability and scalability. It provides robust infrastructure and features like dedicated IP addresses, email validation, and reputation monitoring to ensure high deliverability rates and handle large volumes of transactional emails. MailChimp also emphasizes deliverability but is more geared towards marketing campaigns rather than high-volume transactional emails.
4. Additional Features: MailChimp offers a range of additional features beyond email marketing, such as landing pages, signup forms, audience insights, and social media integration. It provides a comprehensive marketing platform. SendGrid, on the other hand, focuses primarily on email delivery and provides features like email analytics, SMTP relay, and email templates for transactional emails.
See also: Top 10 Email Marketing Solutions
Mailchimp vs SendGrid in our news:
2021. Intuit to acquire Mailchimp
Intuit has made a significant move in the email marketing industry by acquiring Mailchimp for a whopping $12 billion. Although Intuit is not widely recognized in the email marketing space, this strategic purchase aligns with their ambitions to strengthen their position as a hub for small business growth and disrupt the small business midmarket. Intuit's flagship product, QuickBooks, is already a well-known offering among SMBs, and acquiring Mailchimp presents an opportunity to expand their service offerings to their existing customer base. While it may seem like a bold move, Intuit's decision is likely driven by the anticipation of significant corporate synergies that will outweigh the initial investment.
2021. Mailchimp moves into e-commerce
Over the past few years, Mailchimp has evolved from a simple newsletter platform into a comprehensive marketing company. While the platform has already provided integrations with various e-commerce websites, it is now introducing its own online stores tailored to small and medium businesses. Additionally, Mailchimp is launching a new appointment booking service. These new offerings are part of Mailchimp's "Websites & Commerce" plans, which include a free tier providing most of the essential functionalities. Users on the free plan will incur a 2% transaction fee. For $10/month, Mailchimp will remove its branding, provide access to email and chat support, and reduce the transaction fee to 1.5%.
2020. Mailchimp launches new AI marketing tools
Mailchimp has introduced a suite of AI-powered tools aimed at providing small businesses with the same advanced capabilities utilized by their larger counterparts. These tools encompass personalized product recommendations for customers and predictive analytics for targeted marketing, enabling businesses to identify potential buyers more effectively. Additionally, Mailchimp has unveiled a new AI-driven tool that assists business owners in creating visually appealing assets, leveraging its acquisition of Sawa. Furthermore, a tool has been introduced to aid in crafting compelling email subject lines, helping businesses enhance their communication strategies.
2019. Mailchimp acquired e-commerce platform LemonStand and broke up with Shopify
Mailchimp has made the decision to discontinue its app that allowed users to utilize their Shopify data for creating targeted email campaigns. This move came after disagreements arose between the two companies regarding the sharing of customer data. Interestingly, prior to parting ways with Shopify, Mailchimp quietly acquired LemonStand, a smaller competitor of the e-commerce platform. This acquisition was aimed at enhancing Mailchimp's platform by incorporating more integrated e-commerce features. It serves as an indication of the growing importance of Mailchimp's e-commerce business. In the past year, Mailchimp collaborated with Square to introduce shoppable landing pages, showcasing the company's dedication to developing native e-commerce functionalities. While Mailchimp continues to expand its platform's e-commerce capabilities, it remains open to collaborating with third-party providers (excluding Shopify, the largest among them) to offer additional functionality to its users.
2018. Mailchimp partnered with Square to launch shoppable landing pages
Email newsletter service Mailchimp has announced a collaboration with Square, enabling its users to create landing pages integrated with e-commerce functionalities. These shoppable landing pages serve as an additional sales channel for businesses, facilitating the selling of limited-edition products and targeted promotions. While Mailchimp's landing pages have been available for some time, their primary purpose was to capture email addresses or direct users to a store. With this partnership, customers can now establish complete shopping experiences with built-in payment options directly on these pages. To simplify the process, Mailchimp provides a range of pre-designed templates and a user-friendly drag-and-drop builder. Square will apply a flat processing rate for transactions, while Mailchimp offers this service at no additional cost to its users.
2018. Twilio acquired email API platform SendGrid
The communications platform Twilio recently completed the acquisition of the API-centric email platform SendGrid for approximately $2 billion. Twilio's primary emphasis lies in omnichannel communication, with email constituting a significant component of its offerings. While Twilio already provides a wide range of services encompassing voice, video, and chat, it had not prioritized email to the same extent. With this acquisition, Twilio gains the ability to swiftly develop expertise in email-related technologies and expand its services in that domain.
2017. Email Marketing company SendGrid raised $131 million
SendGrid, the marketing email company, has successfully raised $131 million through its initial public offering (IPO) with a pricing of $16 per share, exceeding the anticipated range of $13.50 to $15.50. Starting from Wednesday, the company will be listed on the New York Stock Exchange under the ticker symbol SEND. SendGrid specializes in assisting businesses with their marketing email campaigns and boasts the impressive milestone of processing over one trillion emails, as stated in its IPO filing. The company acknowledges competition from SparkPost, MailChimp, and various divisions of Amazon, Oracle, and Salesforce.
2017. Mailchimp’s marketing automation tools are now available for free
The mailing service MailChimp provides a range of advanced marketing tools to its users, including the ability to follow up with online shoppers. Excitingly, starting today, these advanced marketing automation services are being offered for free to all MailChimp users, even those on the free plan. This means that any online business can now effortlessly create automatic emails that are triggered, for instance, a day after a virtual shopping cart is abandoned or a day after a first purchase is made. Additionally, users can establish a series of welcome emails or utilize the service for transactional messages such as receipts, shipping updates, or invoices. This expansion of free services from MailChimp empowers businesses to enhance their customer communication and engagement without incurring additional costs.
2017. MailChimp combines email marketing with Facebook Ads
MailChimp has expanded its offerings beyond email marketing by introducing a Facebook advertising integration. This integration enables users of the email marketing platform to create Facebook ads and monitor their performance within the same platform. By leveraging MailChimp's intelligent segmentation capabilities to target recent customers or engaged subscribers, businesses can efficiently generate lookalike audiences on Facebook. The rollout of Facebook Ad Campaigns will occur gradually, with availability for all customers expected by February 2.
