What is a Marketing Campaign Profitability Report?

Campaign profitability reports are considered financial and marketing analysis tools and are often used by marketing executives to understand how profitable (or not!) their marketing activities are. Some of the key functionality in this type of report is that it combines data from the company’s CRM system and ERP system to calculate the gross margin contribution of each campaign. The user can select a campaign and then run the report. On the top it shows the cost of the campaign, then it shows how many leads it drove and how many opportunities and won deals this resulted in. Then it brings in the estimated sales amount (from closing a deal in the CRM system) and the actual sales amount (recorded in the ERP system). These figures are then used to calculate the Gross Margin amount and percent as well as the return on investment (ROI). The bottom of the report (not visible in the screenshot below) includes drill down to lead/opportunity and sales transactions. You find an example of this type of report below.

Purpose of Campaign Profitability Reports

Companies and organizations use Campaign Profitability Reports to automatically see the actual profitability of their marketing activities. When used as part of good business practices in a Marketing department, a company can improve its sales and control expenses by intelligently choosing the marketing campaigns with the best gross margins as well as reduce the chances that money is repetitively wasted on poor marketing activities.

Campaign Profitability Report Example

Here is an example of Marketing Campaign Profitability Report.

Marketing Campaign Profitability Report Example

Marketing Campaign Profitability Report Example

You can find hundreds of additional examples here

Who Uses This Type of Report?

The typical users of this type of report are: Marketing executives and campaign managers.

Other Reports Often Used in Conjunction with Campaign Profitability Reports

Progressive Marketing Departments sometimes use several different Campaign Profitability Reports, along with marketing department profit & loss statements, overhead allocation reports, marketing simulation models, marketing dashboards, marketing budgets and other management and control tools.

Where Does the Data for Analysis Originate From?

The Actual (historical transactions) data typically comes from enterprise resource planning (ERP) systems like: Microsoft Dynamics 365 (D365) Finance, Microsoft Dynamics 365 Business Central (D365 BC), Microsoft Dynamics AX, Microsoft Dynamics NAV, Microsoft Dynamics GP, Microsoft Dynamics SL, Sage Intacct, Sage 100, Sage 300, Sage 500, Sage X3, SAP Business One, SAP ByDesign, Acumatica, Netsuite and others.

In analyses where budgets or forecasts are used, the planning data most often originates from in-house Excel spreadsheet models or from professional corporate performance management (CPM/EPM) solutions.

What Tools are Typically used for Reporting, Planning and Dashboards?

Examples of business software used with the data and ERPs mentioned above are:

  • Native ERP report writers and query tools
  • Spreadsheets (for example Microsoft Excel)
  • Corporate Performance Management (CPM) tools (for example Solver)
  • Dashboards (for example Microsoft Power BI and Tableau)

Corporate Performance Management (CPM) Cloud Solutions and More Examples