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I have recently moved to Lightning Email Template from custom classic email template. The difference I have observed is:

Classic Email template resolve the merge fields upon insertion into Email pane of the Email Quick action in Lightning where as Lightning Email template does not resolve it upon insertion. See images below:-

Lightning Email template:-

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Classic Email template:-

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is this a limitation in Salesforce Lightning or i am doing something wrong?

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  • Lightning Email template supports HML and SML. Why don't you try and convert HML to SML (used in classic) to see if that helps resolving in preview pan. Handlebars Merge Language (HML) for email templates - If your email template has merge fields with three curly braces ({{{), you’re using an HML email template. If the merge fields have one curly brace ({), or an exclamation mark (!), you’re using a SML (Salesforce Merge Language).
    – Mitesh
    Commented Jan 24, 2020 at 13:35
  • It will be counterintuitive though as per docs HML provides greater flexibility than SML.
    – Mitesh
    Commented Jan 24, 2020 at 13:52

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I experience the same and it seems expected. There's a "preview" button to see how the email will actually look when using Lightning email templates.

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The reason I say "expected" is because it seems to be noted in the documentation for Emailing Customers in Lightning Experience

Merge fields resolve only on send and preview. The field appears as plain text when inserted into the publisher.

enter image description here

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