Push Notifications as a Direct Marketing Channel: ROI, Open Rate, Risks

Push notifications have become one of the most accessible and cost-effective tools in the arsenal of direct marketers. As of June 2025, this channel continues to evolve, showing impressive performance indicators, especially in industries with fast response needs such as e-commerce, finance, and entertainment. Yet, the use of push notifications also brings a set of measurable risks that brands must weigh carefully before implementation.

ROI of Push Notifications in Direct Marketing

Return on Investment (ROI) remains one of the key indicators for any marketing activity, and push notifications consistently demonstrate high efficiency. According to recent industry research, the average ROI from push notification campaigns ranges from 250% to 480%, depending on the audience segmentation, timing, and message relevance. This is significantly higher than email marketing in many segments, particularly for time-sensitive promotions.

Key drivers of this high ROI include low production costs, near-instant message delivery, and increased user re-engagement. Unlike paid advertising, where impressions are sold per click or view, push notifications reach users who have already expressed interest by subscribing. This organic reach leads to better conversion rates with minimal expenditure.

Furthermore, automated push campaigns – such as abandoned cart reminders or personalised product alerts – significantly boost revenue. These flows generate better lifetime value (LTV) from the user base, ensuring that one-time visitors return and convert repeatedly over time.

When Push ROI Can Decline

Despite strong averages, ROI can plummet if the campaign lacks proper segmentation or if notifications are sent too frequently. Users tend to disable notifications when overwhelmed, resulting in reduced reach and engagement. Over time, this decreases the effectiveness of the entire channel.

Additionally, industries with strict compliance requirements (e.g. finance, healthcare) may face ROI limitations due to regulatory boundaries. In such cases, the cost of legal vetting and the narrower content scope reduce the flexibility and impact of campaigns.

Lastly, if a brand relies heavily on generic content or ignores analytics, ROI becomes unstable. Success in push campaigns requires continuous A/B testing, monitoring opt-out rates, and refining message timing based on behaviour-driven triggers.

Open Rates and Engagement Benchmarks

Open rates for push notifications vary widely depending on device type, audience quality, and the sender’s reputation. As of mid-2025, average open rates for mobile push range between 18% and 30%, while web push notifications hover between 4% and 10%. Despite lower numbers for web, desktop users tend to show higher click-through intent when interacting with content.

Engagement is highest when notifications are concise, time-sensitive, and personalised. Rich push messages – those containing images or emojis – typically show 25% better interaction rates compared to plain text alerts. Timing also plays a major role: notifications sent during peak browsing hours (12:00–14:00 or 18:00–21:00 local time) outperform others by up to 40%.

Segmentation by user behaviour has become a core factor in improving open rates. Trigger-based messages (e.g. price drop alerts, low-stock warnings) yield more meaningful results than scheduled promotional blasts. Users are more likely to engage when they feel the message serves their needs rather than promotes generic content.

How to Improve Open Rates

Improving open rates starts with understanding your users’ habits. Brands should analyse peak engagement times and device usage patterns. Sending notifications when users are most likely to interact increases effectiveness without the need to boost volume.

It’s also essential to test different message formats and tones. Some users prefer direct language with action verbs, while others respond to curiosity-driven hooks. Testing helps refine the strategy to what works best for a specific segment or industry.

Lastly, avoiding repetitive messages and maintaining consistency in value delivery helps build trust. If users find push messages helpful, they will not disable them – ensuring your brand maintains its ability to communicate directly with its audience.

Risks and Ethical Considerations

While the performance of push notifications is impressive, it is critical to acknowledge the associated risks. The most common issue is user fatigue, which leads to opt-outs and, in some cases, app uninstalls. Brands that send too many irrelevant or intrusive messages lose access to their audience entirely, negating all prior marketing efforts.

Another risk lies in compliance with data privacy regulations. In jurisdictions like the EU and California, consent-based marketing is mandatory. Brands that push messages without documented user consent face significant legal penalties. This is especially sensitive for sectors dealing with sensitive data such as banking, healthcare, or insurance.

Ethical misuse is also an ongoing concern. Some companies use manipulative language, misleading claims, or time-sensitive pressure tactics (e.g. “Last chance in 10 mins!”) to force conversions. While this may generate short-term gains, it damages long-term brand reputation and user trust.

How to Reduce Push Notification Risks

To mitigate risks, marketers must implement clear opt-in procedures and transparent user control options. Allowing users to choose categories, frequency, and timing of push messages reduces perceived intrusiveness and improves retention.

It’s also crucial to ensure all data handling complies with GDPR, CCPA, or similar frameworks. Messages should not contain personal information unless encryption and user verification protocols are in place. Brands must maintain user data logs in case of audit or legal dispute.

Finally, ethical design principles should govern message creation. Notifications must respect the user’s attention and context. Clear value exchange (e.g. real savings, timely updates, exclusive content) strengthens trust and maximises engagement over time.