How to Calculate Your ROI

Calculating your return on investment, or ROI, is a way for you to more accurately determine how much value you’re getting from your Zillow Premier Agent investment. This can give you a clearer picture of where your marketing is most and least effective, and the knowledge and confidence to continue investing with us.

So how do you calculate ROI? You divide your return (your commission income) by its cost (your Zillow Premier Agent investment).

For example: Say you closed three homes for clients you met through Zillow Premier Agent over six months, and each month you spent $1,000 on your Zillow Premier Agent investment.

For simplicity, say all three of your sales closed at $250,000, for a total of $750,000 in transactions. Assuming a 2.5% commission rate, your commission income was about $18,750.

If you take that income and divide it by your total investment of $6,000, you get an ROI of 3.125. That means that for every dollar you spent on your Zillow Premier Agent investment, you made just over $3.

You can also use this approach at a more detailed level. For example, you could calculate your ROI for different ZIP codes to see how well they’re working for you.

For more assistance in developing strategies for growth with your Zillow Premier Agent investment, speak with one of our business consultants. They’ll help guide and advise you on how to maximize your investment.