Ambassador program ROI calculator

Enter what your ambassador program costs and the customers it brings in. See the revenue, gross profit, ROI and cost per new customer, and how many customers it takes to break even.

This tool is in labs: it works, and we are still testing it. What it makes is yours to keep.

Leave it empty if you pay a commission per sale instead.

The product and its shipping.

What the hours your team spends running the program cost.

Over all the months above. When you fill it in, it is used instead of the line before.

What is left of a sale after the cost of the product itself.

Over the same months, the first order included.

How it works

An ambassador program pays people who like your product to post about it, usually over months rather than in one campaign. Its costs arrive up front and every month, and its customers arrive slowly, so it is easy to lose track of whether it pays for itself.

This calculator puts both sides over the same months: fees, product, tools and team time on one side, and the new customers the ambassadors bring, with the orders they place, on the other. It shows the revenue, the gross profit, the ROI, what each new customer cost, and how many customers the program needs to break even.

Which data it uses

Runs entirely in your browser. Nothing you type is sent to Fluencify; we only count that the tool was used.

Every formula is shown next to its answer, so you can check the arithmetic or repeat it in a spreadsheet. Nothing is compared with other programs: the numbers are yours, and so is the call on what a good return is.

Step by step

  1. Enter how many ambassadors you have and how many months to count.
  2. Add what the program costs: a fee per ambassador each month, the product you send each ambassador once, and tools and team time each month.
  3. Enter the new customers per ambassador each month, or the total over the months, then your average order value, gross margin and the orders a customer places in that time.
  4. Press Calculate program ROI. ROI is gross profit minus all costs, divided by all costs; cost per new customer is all costs divided by new customers.

Example

Twenty ambassadors over six months, in made-up numbers

What goes in

Ambassadors and months
20 ambassadors, 6 months
What the program costs
12,000 in your currency over the six months: fees, product, tools and time together (made up)
New customers
3 per ambassador each month
Orders and margin
an average order of 50, 1.5 orders per customer, 60% gross margin

What comes out

  • New customers: 3 x 20 x 6 = 360. Revenue: 360 x 1.5 orders x 50 = 27,000.
  • Gross profit: 27,000 x 60% = 16,200.
  • ROI: (16,200 - 12,000) / 12,000 x 100 = 35.0%.
  • Cost per new customer: 12,000 / 360 = 33.33.
  • Break-even: each customer brings 50 x 1.5 x 60% = 45 of gross profit, so 12,000 / 45 rounds up to 267 customers.

Put this tool on your site

Copy the code into any page. The tool runs inside a frame, works the same as it does here, and the link under it credits Fluencify.

See the embed

Questions

What counts as a cost of an ambassador program?

Whatever you pay to run it: fees or commissions for the ambassadors, the product you send them, the tools you run the program on, and the time your team spends on it. Count team time as money, because it is.

How do I count the customers ambassadors bring?

Give each ambassador a discount code or a tracked link, or ask new customers how they heard about you. Count only the customers you can trace to the program, the same way every month.

Why does it ask for orders per customer?

A customer who orders again is worth more than one order. Enter the orders you actually see per customer over the same months, and leave it at one if you do not know yet.

What if the ROI is negative?

Look at the cost per new customer and the break-even line first. A program pays for itself with more customers per ambassador, lower costs, or customers who order more than once. If you pay a commission per sale, the ambassador commission calculator shows what it leaves you.

How do I launch an ambassador program?

On Fluencify, brands run programs with creators who make short videos for them, and every video is reviewed before it goes live. Sign up free to launch a program.

Get videos from real creators

Turn your brief into a Fluencify campaign. Creators film it, and every video is reviewed before it goes live.

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