Calculate how digital marketing can impact the cost of capital..
Calculating a return on investor marketing and investor relations has been an ever-elusive metric. Our take at Publiko Investor Marketing is to focus on the ‘Cost of Capital.’ As your share price rises, your cost of capital decreases as you’ll issue less stock for the same amount of capital. Similarly you would issue less stock in an acquisition setting with greater ‘Share Capital.’
This calculator determines the return on an investment in marketing. If you’re share prices rises, you should consider the value of unissued stock in an accretive financing.
So the equation is simple, (marketing investment/value of unissued shares) x 100 = ROI%
We’ve also created a sensitivity chart to help you evaluate your investment based on the size of a potential accretive financing.