Interactive tool
MDR ROI calculator / 2026
Risk-adjusted return on managed detection investment. Plug in your industry, endpoint count, security maturity, and revenue. See expected breach cost avoided, payback period, and three-year ROI.
Inputs
Risk-adjusted ROI
Net benefit per year
$225K
ROI
208%
Payback period
3.9 mo
Breach cost data: IBM Cost of a Data Breach 2025. MDR detection time savings: 108 days faster, $1.76M average. Risk-adjusted with 50% breach probability reduction.
Key stats
The MDR ROI baseline
201%
3-year ROI
Forrester Total Economic Impact study, 2024
6 mo
Payback period
Forrester median for mid-market deployments
$1.76M
Average savings per breach
IBM Cost of a Data Breach, MDR detection time savings
By industry
Breach cost benchmarks
The financial impact of a breach varies widely by industry. The figures below are 2025 averages from IBM's Cost of a Data Breach report.
| Industry | Average breach cost | Why it's that high |
|---|---|---|
| Healthcare | $10.93M | HIPAA penalties, sensitive PHI, regulatory complexity |
| Financial services | $6.08M | Regulatory fines, fraud losses, customer churn |
| Industrial / manufacturing | $5.56M | Operational downtime, supply chain disruption, IP theft |
| Energy | $5.29M | Critical infrastructure regulations, OT environment risks |
| Technology | $5.04M | Source code exposure, customer data, reputational damage |
| Professional services | $4.47M | Client confidentiality, regulatory liability |
| Education | $3.65M | Student PII, research IP, operational disruption |
| SMB average | $3.30M | Smaller absolute cost but proportionally larger to revenue |
| Retail | $3.28M | PCI exposure, customer trust, fraud risk |
| Public sector | $2.55M | Citizen data, political ramifications, transparency obligations |
The mechanism
How MDR reduces breach cost
The financial impact of MDR comes from three reinforcing mechanisms:
- Faster detection. 108 days faster on average. Less time means less data exfiltrated, fewer accounts compromised, less ransomware spread.
- Faster containment. Analysts who already know the playbook respond faster than internal teams improvising. Average containment time falls 50-70% with MDR.
- Lower probability of escalation. Many incidents are caught at the earliest stages and contained before they become reportable breaches. The cost of a contained incident is dramatically lower than the cost of an escalated breach.
The compounding effect
Insurance offset
Premium discount as additional ROI
The risk-mitigation ROI is one component of MDR's financial case. Cyber insurance premium discounts are a separate benefit on top.
Most carriers offer 15-25% premium discounts for organisations with documented MDR. For a mid-market organisation paying $100,000 per year in cyber premium, that's $15,000-$25,000 per year in additional savings on top of the breach risk reduction.
See our cyber insurance and MDR page for the full premium offset analysis and the 97.5% lower claim rate stat.
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FAQ
ROI questions
What's the typical ROI of MDR?
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Disclaimer
MDRCost.com is an independent pricing guide. We are not affiliated with any MDR vendor. Pricing data is compiled from public sources, partner channels, Vendr transaction data, and verified buyer reports. Always request a direct quote for your environment.