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Email Marketing intermediate 45-60 minutes

How to Handle Email Bounces, Complaints, and Unsubscribes

Learn how to manage email list hygiene to protect your sender reputation and ensure your marketing reaches your customers' inboxes.

Angus 28 January 2026

# How to Handle Email Bounces, Complaints, and Unsubscribes Properly

Maintaining a clean email list isn't just about being organised; it is critical for ensuring your marketing messages actually reach your customers' inboxes. If you ignore bounces, complaints, and unsubscribes, Australian internet service providers (ISPs) like Telstra or Optus, and global giants like Gmail, will flag your business as a spammer, potentially blocking your emails entirely.

In this guide, we’ll walk you through the practical steps to manage these three pillars of list hygiene to protect your sender reputation and stay compliant with Australian laws.

Prerequisites

Before you begin, ensure you have:
  • Access to your Email Service Provider (ESP) dashboard (e.g., Mailchimp, Klaviyo, or ActiveCampaign).
  • A basic understanding of the Australian Spam Act 2003 (which mandates clear unsubscribe options).
  • An exported list of your current subscribers for backup purposes.

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Step 1: Understand the Difference Between Hard and Soft Bounces

Before taking action, you must distinguish between the two types of bounces.
  • Hard Bounce: This is a permanent delivery failure. It usually means the email address doesn't exist or the domain is invalid.
  • Soft Bounce: This is a temporary failure. The recipient’s inbox might be full, or their server might be temporarily down.
What you should see: In your ESP's "Reports" or "Analytics" section, look for a delivery rate percentage. Clicking this should show a breakdown of 'Hard' vs 'Soft' bounces.

Step 2: Automate Hard Bounce Removal

Most modern email platforms will automatically "clean" hard bounces after one failure. However, you should verify this setting.

Navigate to your audience settings and ensure that any address returning a hard bounce is immediately moved to a 'Suppressed' or 'Unsubscribed' list. Never delete these contacts entirely—keeping them in a suppression list ensures you don't accidentally re-import and email them later.

Step 3: Set a Threshold for Soft Bounces

A single soft bounce isn't a reason to remove a customer. However, chronic soft bounces indicate a dead account. The Rule of Thumb: Set your system to convert a soft bounce into a hard bounce (and thus suppress it) after three consecutive failed attempts over a 30-day period. This prevents you from repeatedly hitting "full" inboxes which signals poor list maintenance to ISPs.

Step 4: Monitor Your Complaint Rate

A complaint occurs when a recipient clicks "Report Spam" in their email client. This is the most damaging metric for your sender reputation. Industry Standard: You should aim for a complaint rate of less than 0.1% (1 complaint per 1,000 emails sent). If you hit 0.2%, you are in the danger zone. Check your "Campaign Reports" after every send to monitor this specific number. It sounds counter-intuitive, but you want people to unsubscribe rather than report you as spam. Under the Australian Spam Act, you must provide a functional unsubscribe facility. Pro Tip: Don't hide your unsubscribe link in a tiny, light-grey font. Make it clear in your footer. If a user can't find the unsubscribe link, they will hit the "Spam" button instead, which hurts your deliverability far more than a lost subscriber does.

Step 6: Implement a One-Click Unsubscribe

Avoid making users log in or enter their email address to opt-out. This is a common point of friction that leads to complaints. Use a "one-click" unsubscribe method where the user's identity is passed through the URL, allowing them to opt-out instantly.

Step 7: Use a Preference Centre

Sometimes people don't want to leave you; they just want fewer emails. What you should see: On your unsubscribe page, offer a "Manage Preferences" option. This allows users to choose to receive emails "Monthly" instead of "Weekly," or to opt-out of specific topics (e.g., "Promotions" vs "Product Updates"). This can save up to 30% of potential unsubscribes.

Step 8: Review "Reply-To" Bounces

Sometimes, automated systems don't catch everything. Check the inbox of the "Reply-To" address you use for your campaigns. You will often find manual requests like "Please remove me from this list" or automated "Out of Office" replies that contain updated contact details. Manually update these in your database to keep your records accurate.

Step 9: Use Double Opt-In for Australian Leads

To prevent "bot" signups and fake email addresses (which lead to immediate hard bounces), use Double Opt-In. This sends a confirmation email to the user that they must click before being added to your list. This ensures every email on your list is valid and the owner actually wants to hear from you.

Step 10: Regular List Scrubbing

Once every quarter, perform a manual "scrub." Identify subscribers who haven't opened or clicked an email in over 6 months. Send them a final "Win-back" campaign (e.g., "Do you still want to hear from us?"). If they don't engage, unsubscribe them manually. A smaller, engaged list is significantly more valuable than a large, unresponsive one.

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Common Mistakes to Avoid

  • Buying Email Lists: This is the fastest way to get blacklisted in Australia. These lists are full of "spam traps" (emails designed to catch spammers) and will result in massive bounce and complaint rates.
  • Deleting instead of Suppressing: If you delete a bounced email from your database, you might accidentally re-add it during your next CSV import. Always use the 'Suppress' or 'Blacklist' feature in your ESP.
  • Ignoring the 'From' Name: If recipients don't recognise your business name immediately, they are more likely to hit 'Spam' than 'Unsubscribe'. Use a consistent, recognisable 'From' name (e.g., "Sarah from Local Marketing Group").

Troubleshooting Common Issues

Problem: My bounce rate suddenly spiked to over 10%.
  • Reason: You likely have a "bot" attack on your signup form or your domain has been blacklisted.
  • Solution: Implement a CAPTCHA on your website signup forms immediately and check your domain health on a tool like MXToolbox.
Problem: I'm getting complaints from people who just signed up.
  • Reason: Your welcome email might be delayed, or your signup incentive (like a discount code) wasn't delivered instantly, causing frustration.
  • Solution: Check your automation triggers to ensure the first email is sent within seconds of signup.
Problem: My unsubscribe link isn't working.
  • Reason: This often happens when custom HTML templates break the ESP’s tags.
  • Solution: Always send a test email to yourself and click the unsubscribe link to ensure it directs to the correct confirmation page before sending to your whole list.

Next Steps

  • Audit your last 3 campaigns: Check the bounce and complaint rates right now.
  • Update your footer: Ensure your physical business address (required by law) and unsubscribe link are clearly visible.
  • Set up a Re-engagement Automation: Target those who haven't opened an email in 90 days.

Need help technicality setting up your email hygiene or improving your deliverability? Our team at Local Marketing Group can audit your setup. Contact us today to ensure your messages are reaching your Brisbane customers.

Email MarketingData PrivacyList HygieneDigital Strategy

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