SMS ROI Calculator
Calculate the return on investment for your SMS marketing campaigns.
What is SMS marketing ROI?
SMS marketing ROI (Return on Investment) measures the profitability of your SMS campaigns. It is calculated by comparing the revenue generated from SMS-driven conversions against the total cost of sending messages. With average conversion rates of 2-5% and open rates of 90%+, SMS marketing typically delivers 200-500% ROI, making it one of the most cost-effective digital marketing channels for businesses in India.
FAQs
How do I calculate SMS marketing ROI?
SMS marketing ROI = (Revenue from SMS - Cost of SMS) / Cost of SMS × 100. Revenue = Number of messages × Conversion rate × Average order value. Cost = Number of messages × Cost per SMS.
What is a good ROI for SMS marketing?
A good SMS marketing ROI is typically 200-500% depending on the industry. Ecommerce businesses often see 300%+ ROI, while service businesses may see 500%+ due to higher margins.
What is the average SMS conversion rate?
The average SMS conversion rate is 2-5%, which is significantly higher than email (0.5-1%). Industries like ecommerce see 3-5%, while restaurants and retail see 2-3%.
How much does bulk SMS cost in India?
Bulk SMS in India costs 8-25 paise per message depending on volume. Promotional SMS starts at 8 paise, while transactional SMS ranges from 10-20 paise. Higher volumes get better rates.