Marketing ROI Calculator

Calculate the return on investment for any marketing campaign. Compare revenue generated against total marketing spend to evaluate campaign effectiveness and guide budget decisions.

📊 Marketing💼 Marketing ROI = (Revenue − Marketing Cost) / Cost × 100
Revenue attributed to campaign ($)
Total marketing spend ($)
Please enter valid values.

Formula & Reference

VariableFormulaUnits
Marketing ROI CalculatorMarketing ROI = (Revenue − Marketing Cost) / Cost × 100%

Step-by-Step Examples

Example 1
Google Ads

$50k revenue, $10k spend.

  • ROI = ($50k-$10k)/$10k = 400%
  • ROAS = 5x
✓ 400% ROI, 5x ROAS
Example 2
Brand Campaign

$25k revenue, $8k spend.

  • ROI = ($25k-$8k)/$8k = 212.5%
  • ROAS = 3.1x
✓ 212.5% ROI, 3.1x ROAS
Example 3
Loss-Making Channel

$5k revenue, $8k spend.

  • ROI = ($5k-$8k)/$8k = -37.5%
  • ROAS = 0.63x — losing money
  • Pause or redesign this channel
✓ Negative ROI — channel not profitable

Real-World Applications

Common Mistakes to Avoid

⚠️
Not attributing revenue correctly

Multi-touch attribution is complex. Last-click attribution undervalues top-of-funnel channels; first-click undervalues closers.

⚠️
Measuring too early

B2B campaigns can take 90–180 days to close deals. Measure ROI over the full sales cycle.

⚠️
Including brand awareness campaigns in direct ROI

Brand campaigns build long-term equity that doesn't show up in short-term direct revenue.

Frequently Asked Questions

What is a good marketing ROI? ▾
General benchmark: 400–500% ROI (5x ROAS) for digital advertising. However, target ROI depends on your margin — a 10% margin business needs much higher ROAS than a 70% margin business.
ROI vs ROAS — what's the difference? ▾
ROAS = Revenue / Ad Spend (ignores cost of goods). ROI = (Revenue − All Costs) / All Costs (includes COGS and overhead). ROI is more complete.
What's a minimum viable ROAS for most businesses? ▾
Depends on gross margin. Break-even ROAS = 1 / Gross Margin %. At 50% margin, break-even ROAS = 2x. Target 3–5x for profitable scaling.
How do I attribute revenue to specific campaigns? ▾
UTM parameters in URLs, CRM pipeline stages, coupon codes, and platform attribution tools all help. No attribution model is perfect.
What marketing channels have highest typical ROI? ▾
Email marketing consistently shows highest ROI (median 36–40x). Organic SEO is high ROI long-term. Paid social and display advertising typically 2–6x ROAS.

Related Business Calculators