Okay math nerd, this is for you. 😆

How the T60 Health Marketing ROI Calculator Works

What this tool does (and doesn’t)

The T60 Health Marketing ROI Calculator helps private practices connect their marketing investment to business outcomes. It shows:

  • How many new patients you need to break even
  • Your potential profit beyond breakeven based on a monthly goal
  • An ROI percentage and a simple verdict (“not good,” “good,” or “amazing” by healthcare standards)
  • A Realism Insight that aligns expectations with how marketing compounds over time

It’s not a prediction engine. It’s a planning and education tool to support good decisions and productive strategy conversations.

The Inputs

  1. Annual Gross Revenue – your practice’s yearly revenue.
  2. Percent Invested on Marketing – typically 8–15% depending on goals and specialty.
  3. Patient Lifetime Value (LTV) – average total revenue per patient over their relationship with your practice.
  4. Desired New Patients per Month – your growth target from marketing efforts.

You can let the calculator compute your Annual Marketing Investment from revenue × percent, or manually override it if you already have a set budget.

The Math (step by step)

1) Annual Marketing Investment

Investment = Revenue × (Percent Invested ÷ 100)

2) Break-even Patients

Break-even Patients = Investment ÷ LTV

We round up to whole patients (no half-patients).

3) Monthly Break-even Targets

  • 3-month plan: ⌈Break-even ÷ 3⌉ per month
  • 6-month plan: ⌈Break-even ÷ 6⌉ per month
  • 12-month plan: ⌈Break-even ÷ 12⌉ per month

4) Profit Projection (beyond breakeven)

  1. Annual patients from goal = Goal × 12
  2. Extra patients beyond breakeven = max(Annual patients − Break-even Patients, 0)
  3. Projected Profit = Extra patients × LTV

Displayed as: “If you reach your goal of X new patients per month, your profit would be approximately $Y.”

5) ROI Percentage + Verdict

ROI % = (Projected Profit ÷ Investment) × 100
ROI %VerdictMeaning
< 100%Not goodNot yet breaking even; underperforming
100%–300%GoodHealthy, sustainable range for many practices
> 300%AmazingExcellent return for consistent long-term campaigns

The ROI % is approximate and intended for planning, not as a guarantee.

Realism Insight (why your inputs matter)

To set realistic expectations, we compare your goal intensity with your annual investment using an implied ROI multiple:

Implied ROI Multiple = (Goal × 12 × LTV) ÷ Investment

The calculator translates that into a simple, color-coded message (without showing the math):

Green (balanced)

Your goal looks right on target. With consistent marketing and a clear strategy, you’re set up for healthy, steady growth.

Yellow (ambitious but attainable)

Your goal’s ambitious but absolutely within reach with steady content and maybe a touch of ad support.

Pink (aggressive)

You’re aiming high... and that’s great! But based on your current marketing investment, it will likely take a little more time, consistency, and/or ad support to get there.

We may add a gentle note if your annual marketing allocation is very low relative to revenue.

Reminder: marketing results typically get better and better with steady consistency over 6–12 months.

Example (illustrative)

  • Revenue: $600,000
  • Percent Invested: 10% → Investment = $60,000
  • LTV: $3,000
  • Goal: 8 new patients/month
  • Break-even Patients = $60,000 ÷ $3,000 = 20
  • 12-month plan ≈ 2/month to hit breakeven in a year
  • Annual goal = 8 × 12 = 96
  • Extra beyond breakeven = 96 − 20 = 76
  • Projected Profit = 76 × $3,000 = $228,000
  • ROI % ≈ ($228,000 ÷ $60,000) × 100 = 380% → verdict: amazing

Assumptions & Notes

  • LTV is a powerful lever—adjusting it up/down changes outcomes significantly.
  • Profit shown is beyond the marketing investment (does not include other overhead/COGS).
  • Results vary by market, specialty, brand equity, and conversion rates.
  • Paid promotion can accelerate distribution but performance varies.

Sources & Methodology (plain-English summary)

ROI % verdict ranges

“Good” (100–300%) and “Amazing” (>300%) map to realistic, sustainable annual ROI ranges cited across marketing industry summaries and healthcare case studies.

  • HubSpot State of Marketing (service-sector ROI norms)
  • Nielsen Marketing ROI analyses (cross-industry benchmarks)
  • WordStream/LocalIQ small-business performance data (CPL/CPA → ROI implications)
  • MGMA insights on practice marketing investment and outcomes
  • Healthcare agency case studies/white papers (PatientPop, DoctorLogic, Cardinal Digital Marketing, PatientGain)
  • Dental-specific discussions in Dental Economics (realistic ROI targets)

Across these, well-run programs for professional services often land in the 2–3× (200–300%) annual ROI range, with 3×+ achievable in sustained campaigns—especially with strong LTV and consistent distribution (including paid).

Realism criteria (implied ROI multiple)

We assess goal intensity by comparing desired annual new-patient revenue to annual marketing investment using:

Implied ROI Multiple = (Goal × 12 × LTV) ÷ Investment

Internally, that maps to three user-friendly messages (green/yellow/pink). We don’t expose numeric thresholds in the UI; the goal is guidance, not gatekeeping.

Have questions about your specific situation? We’ll gladly walk through your numbers one-on-one.