Email Marketing ROI Calculator


How to use the email marketing ROI calculator

Here is a quick tutorial on how to calculate your email marketing ROI, and some historical information to help your choices and expectations.

1. Select the type of Email marketing ROI calculation; it can be per period (month, year) or per email campaign. This makes it a bit easier, because you can use the email marketing statistics you have readily available. You can also use the “email campaign” type to calculate the marketing ROI of multiple email marketing campaigns at once by filling in the totals.

2. Change your currency if it is not default.

3. Enter your email volume. The email volume is the first part of calculating your own email marketing ROI statistics. Be sure that you enter the number of emails that were actually sent, so exclude any bounced email addresses.

4. Enter your open, click and conversion rates. These are the unique open, click and conversion rates.

On the right side, you will already see the total response statistics of your email marketing change as you adjust the sliders.

5. Enter the Net conversion value. This is the monetary value that an average conversion adds to your email campaign profit, also called contribution margin. So this would be the revenue – product (purchase, sales, shipping) costs per conversion.

6. Enter the total costs. This is the last part of the email marketing ROI formula.The total costs are all costs that can be attributed to your email marketing campaigns. This about costs like: CRM systems, your Email tools and license fees. You can add external costs of for instance an online marketing agency, and don’t forget your Internal hours x hourly rate.

Your email marketing ROI: On the right side your results will be shown. The most important being: your total email marketing conversions, profit and email marketing ROI. The number of conversions to reach a break even point are also calculated. If you are below the break-even point the ROI and Total Profits will turn red. This means you are turning a loss after all the costs have been deducted from your email campaign. 

Email Marketing ROI

What is your return from the email marketing dollars you spend? Below is a great “email campaign” calculator we developed to quickly help you know your ROI, and where you can improve your efforts.  Change the values and see where your breakeven points are, and how changes in your results directly impact your ROI and conversions. 

Here’s a great hint: if you can use an emoji in your subject line your email has an 80% greater chance of landing in the inbox. Try it out and see if this makes a difference in your campaign. You can utilize this Email ROI Calculator we created to see how your profits increase with this simple trick to get more of your marketing messages delivered to the inbox of your list recipient, and therefore initiate a higher open rate.

Research shows e-mail marketing has the highest-ROI of all online marketing strategies when implemented properly. 67% of businesses list email marketing as their highest earner (return-on-investment). Email ROI is huge because you are in your customers space. Most people receive their emails at home or in the office, and your marketing emails will be delivered somewhere between personal and important business messages. The key is not to look and sound like spam and create an email that prospective clients want to open. Even better, send an email message that they think will educate, entertain, help, inform, or improve their lives.  These are the emails with the highest open rate and will increase the email marketing return on investment or ROI. Getting your email opened is really your second major hurdle. The first is using techniques that will avoid your message automatically being delivered to your client or prospects spam folder. Although it still might be opened your chances have been dramatically decreased.

If you have any questions about how your company can use email marketing to increase the ROI of your marketing call us today. All initial consultations are absolutely free with no obligation. Consultations are not conducted by our sales team.  You will speak with a technical team leader who will help you better understand how these tactics and strategies can improve your marketing efforts and get a better return on investment for your email marketing investment dollars.

Call today: 1-800-322-1100

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