Genomic Testing ROI Calculator
Estimate the return on investment from genomic testing breeding stock, accounting for EPD accuracy improvement, selection decisions, and genetic value in progeny.
Inputs
Results
Return on investment
-47%
How to Use This Calculator
- Enter Animals to test, Test cost per head ($), and Cull rate from results (%).
- Set Avg progeny per retained animal, Weaning wt EPD gain (lbs), and Calf value per lb ($).
- Adjust Accuracy improvement (%), Years to realize value as needed.
- Review the Return on investment (%) result.
- Use Net benefit ($) and Total testing cost ($) to inform your decision.
How the result changes with Test cost per head ($)
| Test cost per head ($) | Return on investment |
|---|---|
| 50 | -52% |
| 175 | -86% |
| 325 | -93% |
| 450 | -95% |
What each input means
- Animals to test
- Number of breeding candidates to genomic test.
- Test cost per head ($)
- Cost per genomic test (e.g., GeneSeek, Zoetis).
- Cull rate from results (%)
- Percentage of tested animals culled based on genomic results.
- Avg progeny per retained animal
- Expected number of calves per retained animal over their productive life.
- Weaning wt EPD gain (lbs)
- Expected improvement in weaning weight EPD from better selection.
- Calf value per lb ($)
- Current market value per pound of weaned calf.
- Accuracy improvement (%)
- EPD accuracy improvement from genomics (typically 20-40%).
- Years to realize value
- Timeframe over which genetic improvement generates returns.
What each result means
- Return on investment
- Total ROI from genomic testing investment.
- Net benefit
- Total genetic value minus testing cost.
- Total testing cost
- Cost to test all candidate animals.
- Animals retained
- Number of animals kept after genomic-informed culling.
- Value added per calf
- Additional value per calf from improved weaning weight genetics.
- Total progeny benefiting
- Total calves that benefit from improved genetics.
- Total genetic value
- Total economic value of genetic improvement across all progeny.
- Annualized benefit
- Net benefit averaged per year.
How this is calculated
Worked example, using the default values
- Identify Input Parameters4 parametersAnimals to test = 50, Test cost per head ($) = 45, Cull rate from results (%) = 20, Avg progeny per retained animal = 5 = 8 input(s) provided
- Calculate Return on investment-47 = -47%
- Calculate Net benefitNet benefit = totalGeneticValue - totalTestCost-1050 = $-1,050
- Calculate Total testing costTotal testing cost = numAnimalsToTest * testCostPerHead2250 = $2,250
Engine last updated . Checked against 1 independently-derived test — how we verify calculators.
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