Campaign ROI Analysis - Executive Summary

Portfolio Overview

• Total Investment: $34,700/month
  • Ad Spend: $25,500
  • Content: $3,000
  • Team Time: $6,800 (80 hours @ $85/hr)
  • Shared Costs: $2,200 (tools and overhead, allocated proportionally)
• Total Revenue: $148,000
• Blended ROI: 327%
• Total Profit: $113,300
• Campaigns Analyzed: 6

Campaign Performance Detail

Complete Rankings

Allocation Method: Shared costs ($2,200) allocated proportionally based on direct costs (ad spend + content + team time).

Top 3 Performers

1. Facebook Retargeting - Best Performer

• True ROI: 655%
• Investment: $4,238 (Ad: $4,000 + Shared: $238)
• Revenue: $32,000
• Profit: $27,762
• ROAS: 8.00
• Profit Margin: 86.8%
• Why it wins: Exceptional efficiency targeting warm audiences. Every dollar invested returns $7.55 in pure profit. Highest ROAS demonstrates minimal waste and strong conversion from retargeted visitors.

2. Email - Strong Performer

• True ROI: 569%
• Investment: $2,987 (Ad: $500 + Content: $3,000 + Shared: $187)
• Revenue: $20,000
• Profit: $16,713
• ROAS: 40.00
• Profit Margin: 83.6%
• Why it wins: Extraordinarily low ad spend with high conversion rate. Content investment yields massive returns. Owned channel with minimal ongoing costs creates sustainable profit engine.

3. Influencer - Solid Performer

• True ROI: 340%
• Investment: $5,681 (Ad: $5,000 + Shared: $681)
• Revenue: $25,000
• Profit: $19,319
• ROAS: 5.00
• Profit Margin: 77.3%
• Why it wins: Strong returns with authentic reach. Partnership delivers consistent results with healthy profit margins. Good balance of reach and conversion efficiency.

Bottom 2 Performers

5. Instagram - Underperforming

• True ROI: 104%
• Investment: $8,818 (Ad: $6,000 + Shared: $818)
• Revenue: $18,000
• Profit: $9,182
• ROAS: 3.00
• Profit Margin: 51.0%
• Problem: While profitable, ROI significantly lags top performers (655% vs 104%). Large ad spend relative to returns suggests targeting issues, creative fatigue, or audience mismatch. Needs optimization or budget reduction.

6. Blog Ads - Underperforming

• True ROI: 176%
• Investment: $2,900 (Ad: $2,000 + Shared: $900)
• Revenue: $8,000
• Profit: $5,100
• ROAS: 4.00
• Profit Margin: 63.8%
• Problem: Profitable but lowest absolute profit contribution ($5,100). Small scale limits impact. While ROI is respectable, opportunity cost suggests reallocating to higher-performing channels.

Optimization Recommendations

Immediate Actions (Month 1)

1. SCALE Facebook Retargeting by 100% → Add $4,238/month

   • 655% ROI with proven audience warmth
   • Expected: +$27,762/month profit
   • Risk: Moderate - retargeting pool may have capacity constraints

2. SCALE Email by 75% → Add $2,240/month

   • 569% ROI with owned channel advantage
   • Expected: +$12,535/month profit
   • Risk: Low - list capacity and engagement permitting

3. REDUCE Instagram by 50% → Save $4,409/month

   • 104% ROI underperforms portfolio average (327%)
   • Test smaller budget while optimizing creative and targeting
   • Expected impact: -$4,591/month profit (opportunity cost offset by reallocation)

4. TEST Blog Ads at current level → No change

   • 176% ROI is profitable but watch closely
   • Consider small-scale A/B tests for improvement
   • If no improvement in 60 days, reallocate to top performers

Net Impact

• Budget Shift: +$2,069/month (6% increase)
• Projected Profit Increase: +$35,706/month (+32%)
• New Blended ROI: 406%
• New Total Investment: $36,769
• New Total Revenue: $186,297
• New Total Profit: $149,006

Conservative Scenario (50% scaling)

If market constraints exist:

• SCALE Facebook Retargeting by 50% → Add $2,119/month (+$13,881 profit)
• SCALE Email by 50% → Add $1,494/month (+$8,503 profit)
• REDUCE Instagram by 25% → Save $2,205/month (-$2,296 profit)
• Net Impact: +$20,088/month profit (+18%), New Blended ROI: 377%

Channel Performance Summary

• Facebook: 655% ROI, $32,000 revenue - Dominant performer
• Email: 569% ROI, $20,000 revenue - High-efficiency owned channel
• Influencer: 340% ROI, $25,000 revenue - Solid partnership value
• Google Search: 244% ROI, $45,000 revenue - Largest revenue contributor, good ROI
• Instagram: 104% ROI, $18,000 revenue - Needs optimization
• Blog Ads: 176% ROI, $8,000 revenue - Smallest contributor, monitor closely

Best performing channel: Facebook Retargeting (655% ROI)
Highest revenue generator: Google Search ($45,000)
Most efficient spend: Email (40.00 ROAS)

Key Insights

1. Retargeting dominates profitability - Facebook Retargeting’s 655% ROI proves warm audiences convert at exceptional rates. Scaling this should be priority #1.

2. Owned channels deliver outsized returns - Email’s 569% ROI with 40:1 ROAS demonstrates power of owned audience. Content investment ($3,000) yields massive returns when distributed through owned channels vs. paid placements.

3. Scale vs. efficiency tradeoff - Google Search generates most revenue ($45,000) but moderate ROI (244%). Instagram shows inverse pattern: decent spend but weak returns (104%). This suggests opportunity to shift budget from Instagram to proven channels.

4. Content allocation matters - $3,000 content budget drives Email success but weighs on other channels. Consider dedicating more content resources to Email given 569% ROI.

5. Portfolio concentration opportunity - Top 3 campaigns (Facebook Retargeting, Email, Influencer) deliver 67% of profit on 37% of investment. Strong case for concentrating budget in proven winners.

6. Team time is hidden cost - 80 hours @ $85/hr = $6,800 (20% of total investment). Ensure team focus aligns with highest-ROI campaigns.