Email ROI measures the financial return generated by your email marketing efforts compared to the total cost. It helps determine whether your email campaigns are profitable and how efficiently they’re driving revenue.
Email ROI is calculated by subtracting your total email marketing costs from the revenue generated, dividing the result by the cost, and then multiplying by 100 to express it as a percentage.
If your email campaign generated $10,000 in revenue and cost $1,000 to run, your Email ROI would be 900%.
A good Email ROI is often considered 300% or higher, meaning you earn $3 or more for every $1 spent. Many well-optimized email programs achieve much higher returns.
A low or negative ROI indicates that your email campaigns aren’t generating enough revenue to cover their costs. This may result from poor targeting, irrelevant content, or lack of optimization.
Personalize content and offers based on user behavior or preferences to improve engagement and drive more conversions.
Use triggered emails – such as welcome series, cart abandonment, or reactivation flows – to drive consistent revenue.
Connect your email platform to your sales data to understand which campaigns generate the most revenue and why.