Track Your Marketing ROI Before You Overspend

Jan 9

If you’re putting money into marketing without knowing what’s working, you risk wasting budget and effort.

BloomBakery, a small bakery run by Sarah and Tom, noticed their marketing spend was rising while revenue stayed flat. To find out why, they started tracking their Marketing ROI. What they found changed how they allocated every dollar.

What the Numbers Showed

Over three months, they compared the results of social ads and email campaigns:

January: Social ads brought 50% ROI. Email campaigns hit 250%.
February: They shifted 30% of the budget to email. ROI increased to 300%.
March: A new email loyalty series raised ROI again, this time to 500%.

Focusing on the right channels helped them:

Increase revenue by 20%
Cut marketing costs by 15%
Drive more repeat purchases and referrals

Calculate Your Marketing ROI

Here’s the simple formula:

To see if your efforts are paying off, compare what you spend with the revenue generated. The higher the ROI, the more efficient your marketing.

Next Step: Make Your Numbers Work for You

If your books feel cluttered or hard to read, your Chart of Accounts might be the issue. A clear COA helps you track costs like marketing with accuracy.

Read: Expert Workshop: What Exactly Should Your Chart of Accounts Look Like and Why Does It Matter?

Holly Clawson