Marketing Budget Calculator

Plan your marketing campaign budget based on your business goals

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FAQ

Marketing Budget Calculator FAQ

Common questions about marketing campaigns budget and ROI calculation for B2B companies

1

What is Average Deal Size? How to find it?

Average Deal Size (also called ASP = average sale price) is the average revenue you expect from each new customer acquired, typically calculated annually. For SaaS this can be your annual subscription price. You can simply find it in your CRM or BI tool. It's required to calculate ROI from the campaign.

2

What's the difference between CPL and CPC?

Cost per Lead (CPL) measures how much you pay for each lead (e.g. for a book a demo form or webinar form), while Cost per Click (CPC) measures the cost of each click on your ad. CPL is typically at least 10x higher than CPC since not every click converts to a lead. B2B companies should use the cost per lead or CPA (cost per action e.g. signup) as the key conversion metric. CPC is commonly used for top of the funnel campaigns and e-commerce.

3

How should I calculate my lead to customer conversion rate?

Your target conversion rate should be based on historical data or industry benchmarks, if you don't have data. CR depends on how do you define a 'lead'. If your lead is coming from lead magnet form then the CR to customer will be lower than if you define a lead someone who completed book a demo form (later in the funnel). For B2B companies, lead-to-customer rates typically range from 2-15%, the click to lead rate (landing page conversion rate) should be between 5-30%.

4

What factors affect my Cost per Lead (CPL)?

CPL is the outcome of: your industry and target audience size (the narrower, the higher the CPL), your market competitiveness (smaller and more competitive market means higher CPL), marketing channel (e.g. LinkedIn has higher CPL than Google or Meta, but better targeting), and your offer attractiveness. CPL also depends on your lead definition (e.g. demo request vs webinar registration) and landing page factors like form length and content uniqueness (e.g. a generic case study will convert worse than unique industry insights).

5

How can I improve my marketing campaign ROI?

Optimize your funnel conversions with email nurturing and paid remarketing, narrow down targeting to best-performing segments, run A/B tests on your messaging and landing pages, improve ad quality and messaging, and optimize for high-intent keywords. ROI is all about minimizing the marketing cost and maximizing conversion rates in the funnel.

6

What counts as a 'Lead'?

In B2B, a lead is typically someone who has shown interest in our company's content, product or service by completing a website form with business email, contact information, company information. Usually lead is defined as a lifecycle stage before any purchase intent and it should be further nurtured, scored and qualified as MQL and SQL, to finally become a customer. When using this calculator, adjust your lead conversion rate based on your specific definition.