What is ROI?

Return on Investment (ROI) is a key performance metric that measures the profitability of an investment relative to its cost. In dental marketing, ROI helps practices understand the financial returns generated from their marketing efforts.

How is ROI calculated?

ROI is calculated by dividing the net profit gained from an investment by the total cost of that investment, then multiplying the result by 100 to express it as a percentage.

The formula is: ROI = (Net Profit / Cost of Investment) x 100

Interested in understanding the potential return from your marketing efforts? Try our nifty Dental Marketing ROI Calculator here.

Why is ROI important?

ROI is crucial because it provides a clear picture of the effectiveness and efficiency of marketing strategies. For dental practices, a high ROI indicates that marketing efforts are successfully attracting new patients and generating revenue, justifying the expenditure.

How to achieve a positive ROI?

Achieving a positive ROI in dental marketing involves several key strategies:

Target the right audience:
Focus your marketing efforts on potential patients who are most likely to need and seek your services.

Utilise cost-effective marketing channels:
Leverage digital marketing platforms like social media and email marketing, which often provide higher returns at lower costs.

Continuously analyse performance data:
Regularly review marketing metrics to understand what works and what doesn’t, allowing for informed adjustments.

Convert leads with confidence:
Many dental practices can generate lots of leads to their offering, but very few have a solid conversion workflow in place to turn prospective patients into loyal customers.

How much to invest

By rule of thumb, the majority of business-to-consumer (B2C) businesses should be looking to reinvest 5-10% of their monthly turnover into marketing activity.

According to Hubspot, this figure should be around 7% for those operating in the healthcare industry, which dentistry naturally falls under.

How much to pay for leads

The amount that you should be looking to pay for a new lead is dependent on a wide range of factors, including the service being offered, the location of your practice and the marketing channel you’re using. With this in mind, it is difficult to nail down an exact cost per lead that you should be working to.

However, according to a report from Cognism, those operating in the Healthcare industry can expect to pay around £130 for a new lead, which is second only to the Technology sector. This tells us that dental lead generation can be an expensive game if things aren’t executed correctly.

Our average cost per lead

Through a tried and tested approach, which has been fine-tuned over many years, we have been able to significantly optimise our cost per lead across a wide variety of services. Please see a breakdown of our average cost per lead by service below:

Let’s grow together

Over the last few years, we’ve worked with a plethora of successful dental practices across the UK and Ireland, who have all enjoyed a positive ROI from their marketing activity and our working partnership. Interested to learn more about how we’ve delivered this? Get in touch today to speak to our expert team.