Direct Marketing Campaign Breakeven ROI Calculator by Media Type
Use this pro forma Breakeven Analysis - Direct Order Campaign BE Marketing Calculator to determine the breakeven response rate and orders required for your B2C or B2B direct response, direct marketing campaign.
This calculator uses response rates from DMA (Direct Marketing Association) Response Rate Study. It will compute the breakeven response rate and orders required for your campaign based on the circulation, advertising cost, average order value, and gross margin percentage that you enter. You can then compare your campaign's breakeven results achieved for the media type your planning to use to industry norms for this type of media. Choose media type, then the industry average, median, high or low response rate for direct order programs.
The industry response rate that is shown as the "Typical Response Rate" is intended for comparison purposes only. It is intended to give you an idea of whether or not the response required to achieve breakeven for your campaign, based on the circulation, advertising cost, transaction value, and margin that you entered, is realistic. Your program may do better or worse than the reported response rates depending on your selling price point and merchandise being offered.