Friday, September 10, 2010

ROI (Return on Investment)

Your ROI is the measure of the profit you make and/or costs saved at your business. For your email marketing campaigns you calculate cost of sending email plus time.
ROI = [(Payback - Investment)/Investment)]*100
So if you made $780 on your email campaign, your time was worth $50 to create it and it costs $15 to send it it would look like this:
(($780 - $65)/$65)*100 = 1100% ROI (which is really good!)
If you want to take it a step further subtract your cost of your products or services as well.

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