Direct Mail Return on Investment Calculator

Crunch your numbers to determine what results you need to make your direct mail campaign a huge success.

Is a Direct Mail Campaign right for you?

Direct mail is perfect for getting your message in front of your ideal customers.
It’s tactile and, unlike its digital counterparts, tends to hang about - maximising the opportunity to view.
One of the best bits? Everything can be tracked, measured and refined to give you the best chance of success.
We’ve build this handy calculator to help you project the ROI of your campaign.

Number of Pieces to be Mailed:

Total Campaign Costs ($):

Expected Response Rate (%): 5

Conversion Rate (%): 20

Average Sale Amount ($):

Average Profit Margin (%): 50

Adjust the details above to try different options. Try increasing the response rate or reducing number of pieces mailed and see what happens to the totals.

Results

Responses

Response Cost

Number of Sales

Cost Per Sale

Total Revenue

Total Profit

ROI

Net Profit

Adjust the details on the form to try different options. Try increasing the response rate or reducing number of pieces mailed and see what happens to the totals.

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Direct Mail Response Rates

Choosing which response rate to work with is definitely the hardest part, with so many variables involved.

According to the 2023 DMA Response Rate Report, direct mail response rates hold steady at 9% for house lists and approximately 4% for prospect lists. This aligns closely with the 2018 report, which also recorded a 9% response rate for house lists, but it's worth noting that the response rate for prospect lists has slightly decreased from 5% in 2018. Historically, the average response rate between 2003 and 2015 was 3.6% for house lists and 1.6% for prospect lists.

House lists comprise people who have already bought or ordered from you.
Prospect lists are your potential customers who are likely to use your services.

The consistent high response rates over the years are fascinating. This is likely due to less clutter in the mailbox and marketers refining their targeting strategies in response to increased postage costs.