How to measure marketing ROI: a simple guide for business owners
How to work out whether your marketing is paying off, which numbers matter, and how to set up tracking.
5 min read
The basic formula
Marketing ROI is the profit your marketing brings in, minus what you spent, divided by what you spent. If you spend 1,000 and make 3,000 in profit from it, your ROI is 200%.
Track the right actions
Set up tracking for form fills, calls, bookings and purchases. Without it, you're guessing.
Know your cost per lead and per customer
Divide spend by the number of leads, then by the number of customers. This shows which channels really pay off.
Think about lifetime value
A customer who buys again and again is worth more than their first order. Include repeat business when judging channels.
Review monthly
Move budget towards channels with the best cost per customer and keep testing new ideas with a small share.
Want this done for you?
Get a free audit and a clear plan for your business.