Skip to content
Finance Calc Kit
Business

Marketing ROI Calculator

Calculate marketing ROI, conversion rate, and campaign profitability with cost and revenue inputs for online advertising.

Campaign metrics

$
$

Return on investment (ROI)

150.00%

(Revenue − cost) ÷ cost

Net profit

$7,500.00

Campaign profit

Calculation

Open to see each step from your inputs to the result.

Revenue breakdown

  • Net profit$7,500.0060.0%
  • Campaign cost$5,000.0040.0%
Report tool

Marketing ROI and campaign profitability

Marketing return on investment (ROI) measures how much revenue or profit a campaign generates relative to its cost. Positive ROI means the campaign earned more than it spent. Digital marketers track ROI alongside conversion rate to compare channels, creatives, and audience segments.

Enter campaign cost and attributed revenue to calculate ROI and net profit, or switch to conversion rate mode to measure conversions per click. For longer-term software investments, compare with the HR software ROI calculator. For retail gross margin on promoted products, use the GMROI calculator. For ad-spend efficiency measured as revenue per dollar spent, try the ROAS calculator or the general ROI calculator.

Marketing ROI and conversion formulas

ROI=Revenue−CostCost×100\mathrm{ROI} = \frac{\text{Revenue} - \text{Cost}}{\text{Cost}} \times 100
Conversion Rate=ConversionsClicks×100\text{Conversion Rate} = \frac{\text{Conversions}}{\text{Clicks}} \times 100

ROI here uses revenue minus cost, not gross margin. For profit-based ROI, subtract product cost and fulfillment from revenue before calculating.

Worked example

A campaign costs $5,000 and generates $12,500 in attributed revenue. Net profit = $7,500. ROI = ($7,500 ÷ $5,000) × 100 = 150%. With 150 conversions from 3,000 clicks, the conversion rate is 5%.

Frequently asked questions

What is a good marketing ROI?
Benchmarks vary by industry and channel. E-commerce campaigns often target ROAS above 3x to 4x (200% to 300% ROI) after accounting for product margin. Brand campaigns may accept lower short-run ROI.
Should I use revenue or profit for ROI?
Revenue ROI is quick to measure from ad platforms but overstates true return. Profit-based ROI subtracts cost of goods sold and fulfillment for a clearer picture of campaign economics.
How is conversion rate different from ROI?
Conversion rate measures the share of visitors who complete a desired action. ROI measures financial return on spend. A high conversion rate does not guarantee positive ROI if average order value is low.
How do I attribute revenue to a campaign?
Use last-click, first-click, or multi-touch attribution models in your analytics platform. Consistent attribution rules prevent double-counting across overlapping campaigns.

Resources and references

The formulas and methods in this calculator were checked against these independent sources.