Marketing measurement

Calculate marketing return on investment

Marketing ROI compares the profit attributable to a campaign with its full cost. Use consistent attribution and include staff, creative, platform and fulfilment costs before comparing channels.

ROI formula(Return minus cost) divided by cost, multiplied by 100.

Track consistentlyUse UTMs and conversion events for every channel.

Compare like with likeUse the same period and attribution rules.

Core calculation

Start with attributable profit, not revenue alone

ROI % = ((attributable return - marketing cost) / marketing cost) × 100

If a campaign costs £1,000 and produces £1,600 of attributable gross profit, ROI is 60%. If only revenue is available, label the result clearly because it ignores product and fulfilment costs.

Measure the full cost

Include more than advertising spend

  • Media, listing, sponsorship and platform charges.
  • Creative production, agencies, software and landing pages.
  • Internal staff time used to plan, run and report the campaign.
  • Discounts, commissions, returns and incremental fulfilment costs.

Reliable attribution

Define the measurement before launch

  1. Choose the conversion: sale, qualified lead, booking or retained customer.
  2. Add consistent UTM parameters and campaign names.
  3. Set a reporting period and attribution rule.
  4. Separate new-customer value from repeat purchases where possible.
  5. Compare ROI alongside volume, conversion rate and payback period.
ROI is an estimate, not a perfect fact.

Customers can encounter several channels before buying. Record your assumptions so comparisons remain meaningful.

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