How to Measure the ROI of Your Website
Keeping the above tips in mind, let's walk through a quick calculation that helps you better measure your website's ROI. Say, for example, that your website costs $6,000 to develop. With an estimation that it will last 3 years before a redesign is needed, that means your yearly cost of web development will be $2,000. To justify this investment, it has to result in at least $2,000 (and preferably more) every year that it's live. If you know that your average customer brings in $1,000 in revenue, that means your website should be directly responsible for 2 new customers per year. Now, it's time to estimate the impact your website is having in terms of generating customers. Based on the tips above, you may know that the website brings in 500 visits per month or 6,000 per year. If on average, 3% of these visitors become inquiries, your website will generate 180 new leads per year. And again, if 20% of these leads become customers, that means 36 new customers annually. Once