Email marketing continues to be one of the most effective digital marketing channels, often yielding an average return of $36 for every $1 spent. However, to truly understand the health of your email strategy, you must calculate your specific Return on Investment (ROI).
How This Calculator Works
Our calculator uses a multi-step conversion funnel to determine your profitability:
Campaign Cost: Includes software fees, design costs, and copywriting expenses.
Open Rate: The percentage of recipients who opened your email.
Click-to-Open Rate (CTOR): The percentage of openers who clicked a link (a true measure of content engagement).
Conversion Rate: The percentage of people who clicked and then completed a purchase.
Example Calculation
Suppose you spend $200 to send an email to 5,000 subscribers. If 1,000 people open it (20% open rate) and 100 people click a link (10% CTOR), and 5% of those clickers buy a $100 product, you generate 5 sales. Your revenue is $500, profit is $300, and your ROI is 150%.
Tips to Improve ROI
If your ROI is lower than expected, focus on these three areas:
Subject Lines: Higher open rates increase the top of your funnel.
Segmentation: Sending relevant content to specific groups increases conversion rates.
Landing Page Optimization: Ensure the destination page makes it easy for users to complete their purchase.
function calculateEmailROI() {
var cost = parseFloat(document.getElementById('campaignCost').value);
var sent = parseFloat(document.getElementById('emailsSent').value);
var openRate = parseFloat(document.getElementById('openRate').value);
var clickRate = parseFloat(document.getElementById('clickRate').value);
var convRate = parseFloat(document.getElementById('convRate').value);
var aov = parseFloat(document.getElementById('avgOrderValue').value);
// Validation
if (isNaN(cost) || isNaN(sent) || isNaN(openRate) || isNaN(clickRate) || isNaN(convRate) || isNaN(aov)) {
alert("Please fill in all fields with valid numbers.");
return;
}
// Logic
var totalOpens = sent * (openRate / 100);
var totalClicks = totalOpens * (clickRate / 100);
var totalConversions = totalClicks * (convRate / 100);
var grossRevenue = totalConversions * aov;
var netProfit = grossRevenue – cost;
var roiValue = 0;
if (cost !== 0) {
roiValue = (netProfit / cost) * 100;
} else {
roiValue = grossRevenue > 0 ? 100 : 0;
}
// Display Results
document.getElementById('resClicks').innerText = Math.round(totalClicks).toLocaleString();
document.getElementById('resConversions').innerText = Math.round(totalConversions).toLocaleString();
document.getElementById('resRevenue').innerText = '$' + grossRevenue.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2});
document.getElementById('resProfit').innerText = '$' + netProfit.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2});
document.getElementById('resROI').innerText = roiValue.toFixed(2) + '%';
// Show results box
document.getElementById('roiResultBox').style.display = 'block';
// Scroll to results on mobile
document.getElementById('roiResultBox').scrollIntoView({ behavior: 'smooth', block: 'nearest' });
}