How to use the email marketing ROI calculator
Want to know how to calculate your email marketing ROI with our Email ROI tool? Here is a quick explanation and background.
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, depending on what email marketing statistics you have readily available. You can also use the “email campaign” type to calculate the marketing ROI of multiple 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. number of conversions. 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. To the right side you will 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 averge conversion adds to your email compaign profit, also called contribution margin.
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 systemes your Email tools and license fees added 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 break even point are also calculated. Are you below the break even point, the ROMI and profits go red, meaning you are turning a loss after all the costs have been deducted from your email campaign.
Why this email marketing ROI calculator?
Email marketing has one of the highest return on investment of all online marketing channels. Calculating your email marketing ROI is a necessity if you want to know how your email marketing campaigns are doing and improve your email marketing results. We also need to do this quite often, so we created this easy to use and free email Marketing ROI calculator for you to use.
Measuring email marketing ROI doesn’t seem to be very different than any other form of marketing, but it is in a way. By introducing the sliders we make it a bit more easy to see the impact of small changes in conversion on the levels of opens, clicks and conversion percentage. Revenue is typically measured by the number of online (or offline) sales that came directly from the email marketing campaigns.