How To calculate the Return on Investment (ROI) of your campaign

You can follow these steps:

Determine the campaign costs:?

Calculate all the expenses associated with your campaign. This includes costs such as advertising, marketing materials, production, distribution, and any other related expenses.

Establish campaign revenue:

?Determine the total revenue generated as a result of the campaign. This can be done by tracking sales directly attributed to the campaign or by estimating the impact on overall revenue.

Calculate campaign profit:?

Subtract the campaign costs (step 1) from the campaign revenue (step 2).?

The result will be the campaign profit.

Determine the campaign ROI:?

Divide the campaign profit (step 3) by the campaign costs (step 1) and multiply by 100 to get the ROI percentage.?

The formula is ROI = (Campaign Profit / Campaign Costs) * 100.

For example,?

let's say your campaign costs were $10,000 and it generated $30,000 in revenue.?

The campaign profit would be $30,000 - $10,000 = $20,000.?

To calculate the ROI, divide $20,000 by $10,000 and multiply by 100. The ROI would be 200%.

The ROI percentage indicates how much profit was generated for every dollar spent on the campaign.?

A positive ROI means the campaign was profitable, while a negative ROI means it resulted in a loss.

“Remember that ROI is just one metric to assess the success of a campaign. It's important to consider other factors such as campaign objectives, customer acquisition costs, lifetime value of customers, and overall business goals to get a comprehensive evaluation.”