The answer is absolutely. Try calculating your ROI with this easy formula to get more bang for your email buck. How to Calculate Email Marketing ROI and Improve It Email might seem a bit old-school, but it is still a valid form of content marketing. According to the Rock Content Email Marketing Guide, this method is standing the test of time. In fact, 77 percent of marketers report seeing an increase in email engagement. How can you ensure that email marketing is worth the investment? The best way is to measure the ROI. In this article, we will show you how to calculate the ROI of your email marketing and improve on it. Step-by-Step Guide to Calculate Email Marketing ROI Strategies to Improve Email Marketing ROI Step-by-Step Guide to Calculate Email Marketing ROI Statistics on ROI, or return on investment, tell businesses if their marketing efforts are paying off.
Sending emails is a low-cost way to reach out to leads, but you still have to put time into creating the messages and managing a subscriber list. It would be nice to know that it’s worth Phone Number the expense and effort. Fortunately, figuring out your ROI isn’t complicated. It is just a simple math calculation that can tell you a lot. How much you spend The first step is to determine how much you spend on sending email. Factor in things like what it costs to create the messages. Do you pay for graphics? How about a content writer? Next, consider the time spent by you or someone in the company to manage your email campaigns. Measure this time in hours, and identify the average hourly cost. If you take two hours to set up each campaign and value an hour at $25, your labor expense is $50.
How much you gain After you put together your expenditure data, you must determine how much you gained from the campaign. First, identify your email marketing goals. For instance: More product sales Email opens or clicks Increased website traffic New leads You could have multiple goals, but remember to look for things you can measure. For example, you know when you have an increase in sales after sending out promotional email messages. If you use an email tracking program, you can measure the open and click rates, too. This tells you how many recipients look at the messages and click on links to visit your landing pages. Whatever you find, assign a value to it. If you saw a $500 spike in sales, that is the value of your campaign. Calculate your ROI The formula for email marketing ROI is: ((Gain – spent)/spent) x 100 = ROI Let’s say you have made a $200 investment in your latest email campaign.