What is ROI?
Return on Investment, or ROI, is the metric that shows the financial gain acquired from a specific marketing action, relative to its cost.
Put simply, the ROI shows what we get back from the investment — whether it was profitable or not.
How to сalculate ROI
To calculate your ROI, subtract the cost of the investment from the total gain on the investment and divide that by the cost of investment.
Use this simple formula to calculate your return on investment:
ROI = (Gains — Cost) / Cost
How to improve your online store ROI:
- Make sure you know your audience to avoid too generic a content strategy (start with creating customer profiles)
- Focus on getting qualified traffic — optimize your store for SEO and carefully segment your ad campaigns
- Improve your product page conversion rate
cross-sellingand upselling to increase the average checkout price.
Search for your term
A/B Testing Abandoned Cart Advertising Affiliate Marketing Amazon Average Order Value Average Time on Site B2C (Business to Consumer) Blog Branding Breadcrumb navigation Business License Business Plans Business to Business (B2B)
Call-to-Action Cart abandonment rate Chargeback CMS — Content Management System Conversion Conversion Funnel Conversion Rate Conversion Rate Optimization (CRO) Cookies Cross-selling Customer Lifetime Value (CLV) Customer Service Cyber Monday Digital Commerce Direct Mail Direct Marketing Discount Code Dropshipping eBay Ebook Ecommerce
Email Marketing Engagement Rate Entrepreneurship
Event-triggered email Evergreen Content Facebook Favicon Fixed Cost Fulfillment Giveaway Google Google Analytics Green Marketing Hashtag Human Resources (HR) Infographics Instagram Inventory Key Performance Indicator (KPI) Keyword Keyword stuffing Landing Page Lead LinkedIn Logistics Manufacturing Mobile Commerce (mCommerce) Mobile Marketing Monthly Recurring Revenue (MRR) Native Advertising Niche Niche Market Non-disclosure Agreement (NDA) Omnichannel Management Open Rate
Outdoor Advertising Outsourcing Partnership
Pay-per-click (PPC) Point-of-sale (POS) system Private Label Product Bundles Profit margins Purchase Order QR Code Quality assurance (QA) Recurring payment Reseller Retail Return on Investment (ROI) Sales Tax Search Engine Optimization (SEO) Small Business Social Media SSL Stock keeping unit (SKU) Tax Telemarketing Third Party Trademark Traffic Universal Product Code (UPC) Upselling Usability Venture Capital Viral Content Warehousing Wholesale WordPress XML Sitemap