How To Calculate Your Return on Investment

What is the percent return I can expect from a direct mail program? This is fair and common question.

To answers this question it is important to define your intentions. You see there is a difference between quantity and quality.

Quantity directly reflects to percent return.  The truth is that no one can tell you what a percent return you are going to get form of marketing. There are several variables that can affect percent of return, which are out of the control of the marketing company. I have seen the percentage of returns go anywhere from quarter of a percent to over five percent. It really is all over the board.

The numbers can be deceiving because a low percentage return can be a good thing if more people buy than in getting a high percentage return and everyone is shopping and not buying.

Most people agree that the quality of returns is probably more valuable than quantity.

Quality is easy to calculated using our Return on Investment Calculator. This simple calculator helps you to quickly and easily identify what the lifetime value of a new customer is to your business and how many you will need to make your investment worthwhile.

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