What is email marketing.?

I am new to this field, can anyone plz tell me how to do Email marketing and benifits of it...?

Well there are two approaches.

1. Spam people. Get their email addresses by any means necesary and fill their inboxes with crap about your products. Eventually you'll get blacklisted so calculate new C-Blocks and domain names into your costs. If you get even 1% conversion rate you are doing great with this method.

2. Collect email addresses and do a "double opt in" to make sure your signups are legit. Then you can send them an email that they asked for every couple weeks. If done right these people will actually look forward to your email. They will even forward it to friends.

Take a look at http://actionplan.com/ for some really good tips on this.

Email marketing help us to increase traffic for our website is it correct?

It can do, if done right! - get it wrong and you'll end up having spent a great deal of time/resources/money for nothing, or in a worse position than what you are in now.

Our newsletters generate a 15-20% boost in traffic, but only after much tweeking and testing.

It normally comes down to trial and error, so try out new things, document them, then try again - before you know it you'll start getting the feel for what works and what doesn't.

Try emaillabs.com, they have tones of resources and tips that might help.

Marco

Email marketing is mainly a retention tool that can be used very successfully. Make sure you have a proper P3P policy to make sure your don't get shut down for some silly complaint.

Something else to considder with Email is that it can be used for referrals, obtaining natural links etc. These are factors that needs to be considdered when compiling and formating an email. Further considderations is the use of graphics in relation to your target market. In most cases graphic mails is a disaster, but if you are in the gaming market (Playstation etc.) It might be a requirement.

I also advice making use of a outside vendor to serve your emails to ensure that companies like AOL doesn't block you.