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Email Marketing ROI Calculator

Determine the profitability of your email campaigns instantly.

Number of people receiving the email.
ESP fees, design costs, copywriter fees.
Average revenue per conversion.
Industry benchmark: ~20%
Percentage of delivered emails that clicked.
Percentage of clickers who purchased.
Est. Total Opens: 0
Est. Total Clicks: 0
Est. Conversions (Sales): 0
Total Revenue Generated: $0.00
Net Profit: $0.00
Return On Investment (ROI): 0%
function calculateEmailROI() { // Get inputs var listSize = document.getElementById("em_list_size").value; var cost = document.getElementById("em_cost").value; var aov = document.getElementById("em_aov").value; var openRate = document.getElementById("em_open_rate").value; var ctr = document.getElementById("em_ctr").value; var convRate = document.getElementById("em_conv_rate").value; // Validate inputs if (listSize === "" || cost === "" || aov === "" || ctr === "" || convRate === "") { alert("Please fill in all fields to calculate your ROI."); return; } // Parse numbers var numListSize = parseFloat(listSize); var numCost = parseFloat(cost); var numAov = parseFloat(aov); var numOpenRate = parseFloat(openRate); var numCtr = parseFloat(ctr); var numConvRate = parseFloat(convRate); // Logic Calculations // 1. Total Opens var totalOpens = Math.round(numListSize * (numOpenRate / 100)); // 2. Total Clicks (Using CTR as clicks per delivered email, standard definition) var totalClicks = Math.round(numListSize * (numCtr / 100)); // 3. Total Conversions (Sales from the clicks) var totalConversions = Math.round(totalClicks * (numConvRate / 100)); // 4. Total Revenue var totalRevenue = totalConversions * numAov; // 5. Net Profit var netProfit = totalRevenue – numCost; // 6. ROI Calculation: (Net Profit / Cost) * 100 var roi = 0; if (numCost > 0) { roi = (netProfit / numCost) * 100; } else if (totalRevenue > 0) { roi = 10000; // Arbitrary high number if cost is 0 but revenue exists } // Display Results document.getElementById("em_results").style.display = "block"; document.getElementById("res_opens").innerHTML = totalOpens.toLocaleString(); document.getElementById("res_clicks").innerHTML = totalClicks.toLocaleString(); document.getElementById("res_conversions").innerHTML = totalConversions.toLocaleString(); document.getElementById("res_revenue").innerHTML = "$" + totalRevenue.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2}); var profitElem = document.getElementById("res_profit"); profitElem.innerHTML = "$" + netProfit.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2}); if (netProfit < 0) { profitElem.style.color = "#e74c3c"; // Red for loss } else { profitElem.style.color = "#2c3e50"; // Dark blue/standard for profit } var roiElem = document.getElementById("res_roi"); roiElem.innerHTML = roi.toLocaleString(undefined, {minimumFractionDigits: 1, maximumFractionDigits: 1}) + "%"; if (roi < 0) { roiElem.style.color = "#e74c3c"; } else { roiElem.style.color = "#27ae60"; } }

How to Calculate Email Marketing ROI

Email marketing consistently offers one of the highest returns on investment (ROI) across all digital marketing channels. According to recent data, for every $1 spent on email marketing, businesses can expect an average return of $42. However, achieving this number requires careful tracking of your metrics.

This Email Marketing ROI Calculator helps you visualize the funnel from subscriber to sale. By inputting your specific campaign data, you can see exactly how open rates, click-through rates (CTR), and conversion rates impact your bottom line.

Understanding the Formula

The basic formula for calculating Email ROI is:

ROI = ((Total Revenue – Total Campaign Cost) / Total Campaign Cost) * 100

To derive the Total Revenue used in this calculation, we look at the funnel metrics:

  • List Size: The total number of recipients.
  • CTR (Click-Through Rate): The percentage of recipients who clicked a link.
  • Conversion Rate: The percentage of people who clicked that actually made a purchase.
  • AOV (Average Order Value): The average dollar amount spent per transaction.

How to Improve Your Email ROI

If your calculator results show a negative or low ROI, consider optimizing these levers:

  1. Improve Subject Lines: Increasing your Open Rate puts more eyes on your content.
  2. Optimize Call-to-Actions (CTAs): Clear, compelling buttons increase CTR.
  3. Landing Page Optimization: Ensure the page users land on is congruent with the email to boost Conversion Rate.
  4. List Hygiene: Regularly cleaning your list reduces costs by removing inactive subscribers who skew your data.

Frequently Asked Questions

What is a good Email ROI?
While $42:1 is the average, a "good" ROI depends on your industry. Retail and E-commerce often see slightly lower percentages due to higher overheads (COGS), while software (SaaS) companies may see higher percentages.

Should I include overhead in Campaign Cost?
Yes. To get an accurate Net Profit number, your "Total Campaign Cost" should include the cost of your Email Service Provider (ESP), the time spent by employees or freelancers creating the email, and any design assets purchased.

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