How to Calculate ROI of Direct Mail Advertising

ROI of Direct Mail

In order to be successful, a campaign must generate a good return on investment (ROI). To help you keep track of your campaign, Aspen Automotive takes a closer look at how to calculate the ROI of direct mail advertising.

ROI = Net Profit/Total Investment x 100

If you have all the necessary data, you can calculate your ROI with a simple formula. Just take the total profits from your campaign, divide it by the amount you invested, and then multiply it by 100. That should give you a greater sense of your return on investment.

ROI = Net Profit/Total Investment x 100

So, how do you get the data you need? Simply follow the steps below:


The first step toward determining your ROI is figuring out how much you want to invest in the first place. Add up the cost of materials, printing, and production. You can also include time as a metric, if you’re paying people like graphic designers by the hour.

When it comes to totaling up the production costs, Aspen Automotive makes it easy for you. We produce everything in house, and once an idea is approved, we typically have it sent out and in the mail in just 72 hours.


Direct mail marketing has all sorts of uses. Not every campaign is created with the same objective in mind. Think about what you’re trying to achieve with your campaign. Some of the things you might be trying to accomplish include:

  • Increasing brand awareness
  • Getting a good response rate
  • Improving your conversion rate
  • Boosting sales for a specific service or product

Setting goals is what allows you to determine whether or not your campaign was successful. Once you know what your end game is, you’ll know your criteria for success when you measure your results.


Track ROI with QR codesThe only way to know if your campaign has achieved your goals is to track your results.  Once your mailers go out, it’s time to start looking at the data. What should you be looking for? That depends on what your goals were. Luckily, there are several marketing tools you can include in your mailers that are easily trackable. Some of the things you can track and analyze include:

QR Codes

If you’ve eaten at a restaurant in the last year, you’ve become very familiar with QR codes. Including them in a mailer is an easy way to get customers to engage with you, direct them to your landing page, or redeem an offer.


Like QR codes, personalized URLs (PURLs) allow recipients to go directly to your site. Plus, personalizing the offer or invitation to each customer is a great way to establish a connection with them.

Activation Codes

Another great way to get customers and leads to instantly redeem an offer or sign up for a mailing list is with activation codes.

Sales Numbers

If your goal was to sell a specific product, you can look right at the bottom line and see how many units were moved and how much money the campaign brought in.

All of these are great ways to see what kind of response your campaign has received. While you can check sales numbers for your business, Aspen Automotive can help you keep track of clicks, scans, and activation codes.

Improve Your ROI With Aspen Automotive

ROI is certainly something you should track throughout all your campaigns. It’ll keep your finances in order and show you what direct mail marketing campaigns are most effective in your area. To learn more about calculating ROI for direct mail advertising and how we can help you every step of the way, contact us at Aspen Automotive.