Last month we published a post about calculating the ROI on lead gen videos. It included a widget where you could input your company’s numbers and extract the real or projected ROI for your video project. The response, from both prospects and clients, has been so positive that we asked ourselves: are there adjacent services that might also profit from these calculators?
Website design firms have a similar challenge to us: they are trying to justify a large investment to prospect companies that are often unsure about the value of a new website. We have modified our calculator to make it a better fit for website design firms or digital agencies. This calculator is meant solely for lead generation sites, so it might not be too helpful for your web commerce and B2C prospects. (If we get a good response on this calculator, we may create one for other business models.)
To install this calculator on your WordPress site, download from here. Download the .zip file and open on your desktop: you will see another .zip file which can be imported as a plug-in to WordPress, and also a text file with instructions for installing the plug-in, and inserting the calculator anywhere you like. All you need to complete the experience for your website visitors is to copy and paste the directions on how to use, which you can find below.
Hope this useful to you, and please let us know if it helps your closing process!
Directions
Establish two comparable periods over which to compare your results (before and after you introduce your new website.) These periods should be long enough to provide you with a good sample of data, but not so long as to delay the receipt of the information beyond when it is useful. If your business has seasonality, consider using the same period from a past year.
Inputs
Line 1. Gross profit margin is the percentage of your total revenues that is profit after your cost of goods sold (COGS) is deducted but before fixed expenses (overhead) are subtracted.
Line 2. This is the average revenue from each of your sales or contracts. If you get a lot of repeat customers or recurring revenue, you might consider using average customer lifetime value for this field.
Line 3. This is the percentage of your leads that become customers.
Line 4. This is the percentage of visitors to your page that become leads, however you define that, in the ‘before’ period.
Line 5. This is the percentage of visitors to your page that become leads, in the ‘after’ period. Hopefully, your new website will increase this percentage.
Line 6. This is the number of months over which the tool will calculate your returns. Enter a number that represents the likely life of the website. (24 months is a serviceable default value.)
Line 7. This is how much you spent, or anticipate spending, on a website.
Outputs
Line 8. Additional gross revenue: This is the amount of additional sales that your video has created, or is likely to create.
Line 9. This is the Return on Investment that your video has yielded, or is likely to yield.
