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Email Marketing ROI Calculator

Calculate email campaign ROI with list size, open rate, CTR, conversion rate, average order value, and campaign costs.

Tested tool guide Tested browser tools Checked August 16, 2026

What Email Marketing ROI Calculator does, with a checked example

The Email Marketing ROI Calculator turns a mailing list and campaign performance assumptions into estimated opens, clicks, conversions, revenue, profit, and return on investment. It applies the open, click-through, and conversion rates in sequence, then multiplies conversions by average order value and compares the resulting revenue with campaign cost. A frequent mistake is entering a conventional delivered-email CTR. Here, CTR follows opens in the funnel, so it represents the share of estimated opens that click.

Worked example

A concrete input and expected output from the current implementation.

Input

List size: 2; open rate: 100%; CTR: 100%; conversion rate: 100%; average order value: $10; campaign cost: $5

Expected output

Estimated opens: 2; estimated clicks: 2; estimated conversions: 2; estimated revenue: $20; net profit: $15; ROI: 300%

All two recipients pass through every funnel stage. Two conversions at $10 produce $20 revenue; subtracting $5 leaves $15, and $15 / $5 x 100 equals 300%.

How the result is produced

1

Sequential campaign funnel

List size is multiplied by open rate to estimate opens. Those opens are multiplied by CTR to estimate clicks, and clicks are multiplied by conversion rate to estimate conversions. Average order value then converts the expected conversions into revenue. Fractional conversions can appear because the calculation represents an expected outcome rather than a count of completed orders.

2

ROI calculation

Net profit is estimated revenue minus campaign cost. ROI is that net profit divided by campaign cost, multiplied by 100. A 0% result means estimated revenue exactly covers the entered campaign cost. A negative result indicates a modeled loss. ROI is not meaningful when campaign cost is zero because the calculation would require division by zero.

Good uses

  • Forecast whether a planned list send could meet an ROI target before approving campaign spend.
  • Evaluate a completed campaign using its observed open, click, conversion, order-value, and cost figures.
  • Compare how changes in CTR, conversion rate, or average order value affect return while campaign cost stays fixed.

Limits and checks

  • Use clicks divided by opens for the CTR field; a delivered-email CTR has a different denominator and will distort this sequential funnel.
  • List size is not necessarily delivered volume. Bounces, suppression, and delivery failures can make the effective audience smaller.
  • Average order value produces sales revenue, not gross profit. Excluding product costs, refunds, discounts, fees, or labor can overstate business profitability.

Common questions

Why does the calculator use both open rate and CTR?

Open rate estimates how many listed recipients open the message, while CTR estimates how many of those opens lead to clicks. For this funnel, enter an open-based click rate, often called click-to-open rate. No, a CTR calculated from all delivered messages is not interchangeable without converting it to the required denominator.

Does the result include product costs and refunds?

No, not as separate inputs. Average order value converts estimated orders into revenue, while campaign cost supplies the expense used in ROI. If product costs, refunds, payment fees, discounts, or fulfillment costs matter, account for them separately or incorporate an appropriate amount into costs. Otherwise, treat the result as campaign ROI rather than complete business profitability.

References and verification

The example and behavioral notes were checked against the browser implementation. Standards and primary references below define the relevant format, formula, or platform behavior.

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