Risley Ranch_Marketing ROI Calculator.xlsx

	A	B	C	D	E
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3	Performance Marketing ROI Calculator
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5	Part 1: Building your ROI Assumptions from the Top Down
6			Scenario 1	Scenario 2	Scenario 3
7	Price for agency to deliver services to achieve marketing goals.	Fee	$20,000	$30,000	$50,000
8	What you expect to spend on your marketing program media, i.e., paid media advertising.	Marketing "Working Media" Investment	$5,000	$5,000	$7,500
9	Fee + Working Media	Total Marketing Investment	$25,000	$35,000	$57,500
10	Your annual profit-margin goal	Required Profit Margin	20.00%	20.00%	20.00%
11	This is the net revenue that must be generated to meet your revenue-margin goal based on the total marketing investment above.	Net Revenue Needed to Cover Investment (Monthly)	$31,250	$43,750	$71,875
12	The average gross dollar amount of an average sale.	Avg $$ per Sale (Monthly)	$3,000	$5,000	$10,000
13	The percentage of deals or sales opportunities that ultimately convert to a contract/sale?	Deal Close Rate	30.00%	30.00%	30.00%
14	The minimum number of deals we must generate at the average dollar amount noted above.	Deals Needed to Cover Investment	35	29	24
15	This is the number of Sales-Qualified Leads that ultimately become deals, expressed as a percentage.	SQL to Deal Conversion Rate	50.00%	50.00%	50.00%
16	The minimum number of SQLs we must generate to create enough deals at your average sales dollar amount, that could become closed sales so you can cover your marketing investment.	SQLs Needed to Cover Investment	69	58	48
17	Marketing Qualified Leads that ultimate convert to SQLs.	MQL to SQL Conversion Rate	15.00%	15.00%	15.00%
18	The minimum number of MQLs we must generate to create enough SQLs and deals at your average sales dollar amount, that could become closed sales so you can cover your marketing investment.	MQLs Needed to Cover Investment	463	389	319
19	Part 2: Calculating Your ROI from the Bottom Up
20			Scenario 1	Scenario 2	Scenario 3
21	This is the process in reverse. Start by estimating how many unique MQLs you can generate. The tool will use the inputs from above to calculate your net profit margin be on your marketing investment.	MQLs Generated	400	400	400
22		MQL to SQL Conversion Rate	15.00%	15.00%	15.00%
23		SQLs Needed to Meet Sales Goal	60	60	60
24		SQL to Deal Conversion Rate	50.00%	50.00%	50.00%
25		Deals Generated	30	30	30
26		Avg $$ per Sale	$3,000	$5,000	$10,000
27		Deal Close Rate	30.00%	30.00%	30.00%
28		Target # of Closed Deals	15	15	15
29		Sales Generated	$27,000	$45,000	$90,000
30		Total Marketing Investment	$25,000	$35,000	$57,500
31		ROI in $	$2,000	$10,000	$32,500
32		ROI Margin	7%	22%	36%
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