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Restaurant marketing ROI calculator

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What is restaurant marketing ROI?

Restaurant marketing ROI (Return on Investment) measures the effectiveness of the marketing campaign for your restaurant compared to the relevant costs. Calculating this metric can allow you to evaluate your marketing investment and optimize your operational efficiency to drive revenue.

Relevant channels: Google Ads, Facebook Ads, Instagram Ads, Email marketing, Flyers, Influencer marketing, Restaurant email marketing

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How to use this restaurant marketing ROI calculator

To calculate your restaurant marketing ROI, enter the following inputs:

  • Revenue from campaign

  • Promotion costs

  • Content creation costs

  • Additional costs

The tool will instantly calculate your ROI, giving you insights into how effectively your marketing efforts are driving revenue for your restaurant.

Restaurant marketing ROI formula

An image showing restaurant marketing ROI formula

Restaurant marketing ROI = [(Revenue from Campaign − Total Marketing Costs) / Total Marketing Costs] × 100

Here,

Total Marketing Costs = Promotion Costs + Content Creation Costs + Additional Costs

Understanding the restaurant marketing ROI result

The ideal restaurant marketing ROI can vary based on the type of campaign, marketing platform, and restaurant size. Typically:

  • A high restaurant marketing ROI indicates that your campaign is successfully driving revenue and is profitable.

  • A low ROI suggests that your campaign is not yielding the expected returns and may require adjustments in your marketing strategy, such as reconsidering your marketing channel, improving content or promotional offers, etc. A negative ROI means your campaign is incurring more costs than generating revenue, and a reassessment of your approach is necessary.

When to calculate restaurant marketing ROI

  • After a major marketing campaign to evaluate its performance

  • Before planning new marketing campaigns or making budgetary decisions

  • During regular performance reviews to assess marketing efficiency

  • When considering investing in new promotional channels or partnerships

How to calculate restaurant marketing ROI (with example)

Suppose you launched a marketing campaign for your restaurant that generated $10,000 in revenue. You spent $3,000 on promotion costs, $1,500 on content creation, and $500 on additional expenses. Here's how to calculate your ROI:

Restaurant marketing ROI = [(Revenue from Campaign − Total Marketing Costs) / Total Marketing Costs] × 100

Revenue from Campaign = $10,000

Total Marketing Costs = $3,000 + $1,500 + $500 = $5,000

Restaurant marketing ROI = [($10,000 − $5,000) / $5,000] × 100 = 100%

This means your marketing campaign resulted in a 100% ROI, doubling your initial investment.

How to improve your restaurant marketing ROI

  • Create engaging content that highlights the unique features of your restaurant

  • Use local SEO strategies to drive more organic traffic to your website

  • Run targeted ads to attract relevant customers in your area

  • Collaborate with local influencers to expand your reach

  • Streamline marketing operations to reduce unnecessary expenses

  • Experiment with promotions, discounts, or loyalty programs to increase revenue

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