ShiftPulse
Marketing Analytics

Marketing ROI Toolkit

Calculate key marketing metrics and ROI to optimize your campaigns and make data-driven decisions.

Ad Performance Metrics
Calculate Click-Through Rate (CTR), Cost Per Click (CPC), and Cost Per Mille (CPM) for your advertising campaigns.

Understanding Marketing Metrics

Ad Performance Metrics

These metrics help you understand how well your ads are performing:

  • Click-Through Rate (CTR): The percentage of people who click on your ad after seeing it. Higher is generally better.
  • Cost Per Click (CPC): The average cost you pay for each click on your ad. Lower is generally better.
  • Cost Per Mille (CPM): The cost per 1,000 impressions. Useful for awareness campaigns.

Return on Investment (ROI)

ROI measures the profitability of your marketing investments:

  • Formula: ((Revenue - Cost) / Cost) × 100%
  • Interpretation: A positive ROI means your campaign is profitable. The higher the percentage, the more profitable.
  • Benchmark: A good marketing ROI is typically 5:1 or higher (500%).

Cost Per Lead (CPL)

CPL helps you understand how efficiently you're generating leads:

  • Formula: Total Campaign Cost / Number of Leads Generated
  • Interpretation: Lower CPL indicates more efficient lead generation.
  • Benchmark: Varies by industry, but typically ranges from $15 to $200 per lead.

Customer Acquisition Cost (CAC)

CAC measures how much it costs to acquire a new customer:

  • Formula: Total Sales & Marketing Costs / Number of New Customers
  • Interpretation: Should be compared to Customer Lifetime Value (CLV). Ideally, CLV:CAC ratio should be 3:1 or higher.
  • Benchmark: Varies widely by industry and business model.

Break-Even Analysis

Break-even analysis helps you understand when your business will become profitable:

  • Formula: Fixed Costs / (Revenue Per Unit - Variable Cost Per Unit)
  • Contribution Margin: Revenue Per Unit - Variable Cost Per Unit
  • Interpretation: The number of units you need to sell to cover all costs.

Pro Tip: Use these calculators together to get a comprehensive view of your marketing performance. For example, compare your CAC with your average customer value to determine if your acquisition strategy is sustainable.

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