How to measure influencer marketing ROI (with a formula)

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Calculating influencer marketing ROI is tricky. It’s not as simple as saying, “We spent X amount on influencer marketing and earned this many sales so our final ROI is Y,” and ending the conversation there. There are more variables involved.

Engagement (like, comments, shares, etc.) plays a significant role from building awareness and exposure to establishing relationships, trust and social proof. High engagement can also help you identify effective call-to-actions and signal algorithms that your content is resonating with audiences. If you want to understand the impact of your engagement on your bottom ukraine mobile database line, you’ll need to go beyond engagement KPIs and monitor them with metrics like click-through rates, conversion rates and sales through attribution.

We don’t recommend solely relying on a set equation to capture all influencer ROI, but it’s a helpful framework to understand costs and returns for the purposes of budgeting. We understand that calculating ROI is a common challenge marketers face, so we recommend using this formula:

(Total Revenue – Total Costs) / Total Costs) x 100= ROI (as a percentage)

While the formula (Total Revenue – Total Costs) / Total Costs) x 100= ROI is a straightforward equation, there’s more to measuring the success of influencer marketing campaigns. There are other methods to quantify the impact of influencer campaigns.