Marketing ROI Calculator
Total revenue value is required
Marketing cost value is required
Total revenue value is required
Marketing cost value is required
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How to use the Marketing ROI Calculator
SE Ranking's Marketing ROI Calculator gives you a clear and quantitative view of the effectiveness of your marketing strategy. To calculate marketing ROI, specify the total revenue and total associated costs for each marketing channel or project. Separate projects from channels to get valid data. If available, add conversion data to get a more detailed view of the effectiveness of your marketing efforts.
The tool then applies a special formula to calculate your marketing ROI, which is crucial for optimizing budgets, refining strategies, and measuring performance. It gives you a granular view of the channels and projects that yield the most profit and lets you adjust your tactics accordingly.
How to calculate ROI in marketing
You can calculate ROI in digital marketing manually. To do this, you first need to understand the revenue generated by your digital marketing efforts and compare it with the total costs, which include all expenses related to your campaign. For a more efficient approach, use SE Ranking’s easy-to-use ROMI calculator.
This tool uses a special algorithm to compute your return on investments for marketing projects and channels. The ROMI calculator lets you perform bulk calculations, making it especially helpful if you need to calculate marketing ROI for several projects or channels.
This tool simplifies and speeds up the process to provide you with a clear view of your marketing strategies’ effectiveness. If you plan to make informed decisions about where to allocate your resources for maximum impact, then the ROMI calculator is the way to go.
Marketing ROI formula
ROMI = (Marketing revenue — Marketing expenses) / Marketing expenses * 100%.
The typical formula for calculating marketing ROI is pretty simple. You need to take the revenue from a specific project or marketing channel (i.e., paid ads, email marketing, etc.), subtract the marketing costs incurred, and then divide the result by the marketing cost. To see ROI as a percentage, multiply the resulting number by 100. This is the exact formula our ROI calculator uses. It lets you quantitatively measure your marketing success and helps you figure out if your current marketing budget is working for you.
What is a good ROI percentage for marketing?
A good marketing ROI percentage typically hovers around 500%. This means that every $1 spent on marketing should ideally generate $5 in revenue. The lowest benchmark for a marketing ROI to be considered good is 0, meaning that you’re breaking even between your revenue and expenses. Generating no profit but incurring no losses either isn’t exciting but it’s always better than being in the red.
But what is “good” for one campaign or business may not be as good for another. Everything depends on your industry, goals, type of marketing campaign, etc. You must understand what is good for you or your clients and align that ideal with your financial and strategic objectives.
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