How To Calculate Marketing Efficiency Ratio in JD Edwards | Arithmix
Learn how to calculate the marketing efficiency ratio in JD Edwards with our step-by-step guide. Improve your marketing strategy and measure its effectiveness with this essential tool.

Marketing efficiency ratio is an important metric that can help businesses evaluate the effectiveness of their marketing campaigns. By calculating this ratio, you can determine how much revenue you are generating for every dollar you spend on marketing. This can help you make informed decisions about where to allocate your marketing budget and how to optimize your campaigns for better results.
What Is Marketing Efficiency Ratio?
Marketing efficiency ratio is a financial metric that measures the return on investment (ROI) of your marketing efforts. It is calculated by dividing your total revenue by your total marketing expenses. The resulting ratio represents the amount of revenue generated for every dollar spent on marketing.
For example, if your total revenue for a given period is $100,000 and your total marketing expenses for that same period are $10,000, your marketing efficiency ratio would be 10:1. This means that for every dollar you spent on marketing, you generated $10 in revenue.
Marketing efficiency ratio is an important metric because it helps you evaluate the effectiveness of your marketing campaigns. By comparing your ratio over time, you can determine if your marketing efforts are becoming more or less efficient. This can help you make informed decisions about where to allocate your marketing budget and how to optimize your campaigns for better results.
When Is It Valuable To Calculate Marketing Efficiency Ratio?
Calculating marketing efficiency ratio is valuable for any business that invests in marketing. It can help you evaluate the effectiveness of your marketing campaigns and make informed decisions about where to allocate your marketing budget. Here are some specific situations where calculating marketing efficiency ratio can be particularly valuable:
- When launching a new marketing campaign: Calculating your marketing efficiency ratio before and after launching a new campaign can help you determine if the campaign is generating a positive ROI. If your ratio improves after launching the campaign, it may be worth investing more in that campaign. If your ratio decreases, you may need to adjust your strategy or allocate your budget elsewhere.
- When evaluating the effectiveness of different marketing channels: Calculating your marketing efficiency ratio for different marketing channels (such as social media, email marketing, or paid advertising) can help you determine which channels are generating the most revenue for your business. This can help you optimize your marketing strategy and allocate your budget more effectively.
- When making budget decisions: Calculating your marketing efficiency ratio can help you make informed decisions about where to allocate your marketing budget. If a particular campaign or channel is generating a high ratio, it may be worth investing more in that area. If a campaign or channel is generating a low ratio, you may want to allocate your budget elsewhere.
Overall, calculating marketing efficiency ratio is a valuable tool for any business that invests in marketing. By evaluating the effectiveness of your marketing campaigns and making informed decisions about where to allocate your budget, you can optimize your marketing strategy for better results and a higher ROI.
How Do You Calculate Marketing Efficiency Ratio in JD Edwards
JD Edwards itself isn’t naturally geared towards letting you calculate complex metrics like Marketing Efficiency Ratio. As an alternative, teams typically use products like Arithmix to import data from JD Edwards and build out dashboards.
What is Arithmix?
Arithmix is the next generation spreadsheet - a collaborative, web-based platform for working with numbers that’s powerful yet easy to use. With Arithmix you can import data from systems like JD Edwards, combine it with data from other systems, and create calculations like Marketing Efficiency Ratio.
In Arithmix, data is organized into Tables and referenced by name, not by cell location like a spreadsheet, simplifying calculation creation. Data and calculations can be shared with others and re-used like building blocks, vastly streamlining analysis, model building, and reporting in a highly scalable and easy to maintain platform. Data can be edited, categorized (by dimensions) and freely pivoted. Calculations are automatically copied across a dimension - eliminating copy and paste of formulas.
Arithmix is fully collaborative, giving your entire team access to your numbers and the ability to work together seamlessly.

Calculating Marketing Efficiency Ratio in Arithmix
Calculating metrics like Marketing Efficiency Ratio is simple in Arithmix. Once you've created your free account, you’ll be able to import your JD Edwards data, and use it to create natural language formulas for metrics like Marketing Efficiency Ratio.
Arithmix is designed to give you the power to build any calculations you want on top of your JD Edwards data, while also being easy to use and collaborate on. You can share your dashboards with users inside and outside of your organisation, making it easy to empower your whole team.
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