Templates / Promotion P&L and ROI calculator
Promotion P&L and ROI calculator
Eight inputs and one answer: does the promotion make money, and what uplift would it need to break even?
Why this exists
Promotion evaluations often flatter the promotion, because they leave out one line: the discount is paid on every unit sold during the promotion, not only the extra ones. This calculator has that line built in, which is why its illustrative promotion, at a 65% uplift, still loses money.
What is inside
- Eight inputs: baseline volume, duration, expected uplift, list price, discount, retailer funding, unit cost, fixed costs
- The full P&L: incremental margin, the discount cost on baseline volume, fixed costs, net promo profit
- ROI and breakeven uplift: the number to compare your expected uplift against before you sign
- A verdict cell that says which it is: pays, or destroys value
Promoted against base sales, built on your data
This calculator answers the question before a promotion runs. The screen we build looks back at your actual sales: promoted against base sales by customer, brand, category or product, with promo share, margin and discount depth, for one month, the year to date or the last twelve months.
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