Return on Investment (ROI)

Lana Pavlova
< 1 min to read

Return on investment is a metric that measures the profitability of an investment. In digital marketing, ROI is often used to evaluate the effectiveness and profitability of advertising campaigns by comparing the revenue generated or costs saved against the advertising costs incurred. The formula for ROI is:

ROI = (Net Revenue – Advertising Spend) / Advertising Spend

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