ROI Analytics

ROI in digital marketing refers to the return on investment for the marketing strategies followed by the company . To calculate it, it is necessary to be very clear about the objective of each strategy and the parameters that we will use to assess it.

For a marketing strategy to work properly, you must be able to accurately measure its effectiveness, since the ultimate purpose is that this investment is reflected in an increase in the profits of your company.

What is Roi Analytics in digital marketing?

ROI is the acronym in English for “Return on Investment”. This key concept in any commercial operation refers mainly to the marketing campaigns that are carried out from the company.

The return on investment, to a certain extent, is the key parameter to effectively measure the results of a campaign in the face of what is expected of it .

This metric, in many cases, becomes the stone of the shoe for many marketers , since some campaigns fail to be specified in solid parameters for a quantitative measurement.

For example, if a campaign is created in order to improve the perception of the brand in the market. How do we manage to measure ROI in this regard? It seems impossible and in fact in a strict sense it is. For this reason, many avoid trying to get into a feat of this dimension.

What is ROI in digital marketing?

An excellent answer to the difficulty presented in ROI measurements above is digital environments.

Thanks to these, marketing professionals have gained scope and feedback in many of their activities. Making these more evident and highlighting the relevance of marketing in any organization.

Measuring ROI in digital marketing is much easier than in the past, but the parameters have not changed much, in fact, the formula for its calculation remains exactly the same.

How to calculate ROI in digital marketing?

(Net profit / total online marketing costs) x 100 = ROI

To determine your net profit, you simply subtract your costs from your revenue. You then divide your net profit by your total costs. To make that number a percentage, multiply that number by 100. Including the net profit calculation, the formula looks like this:

((Revenue – costs) / costs) x 100 = ROI


As you can see in the example, the formula is quite simple. It is important to note that the final ROI result is expressed in percentages .

In this sense, continuing with the argument raised in the example, we have that the return on investment is 2%.

This return is considered positive as it remains on the margin. If the result is negative, it is evident that the campaign with respect to ROI has not worked.

Although in fact an ROI of 2% is not very high, this is where the company must take advantage of the data to establish whether it is justifiable or not.

Although following the example can be a very good result considering that the purpose of the campaign was to attract new customers and also ended in positive numbers.

Why measure ROI in digital marketing?

Measuring your Internet marketing ROI is important because it tells you what’s working and what’s not. If you don’t measure your ROI, you won’t know if your campaigns meet your expectations or even return positive results. This lack of measurement can result in lackluster results and wasted marketing dollars.

If you measure your digital marketing ROI, on the other hand, you’ll be able to refine your campaigns based on your measurements. For example, if your PPC ads perform much better than your emails, you might decide to focus more on PPC or make improvements to your email campaigns.

Measuring ROI is also crucial for proving your digital marketing campaigns’ success, which helps you secure more funding for marketing.

Benefits of measuring ROI?

Measuring the return on investment of your marketing strategy has three main benefits:

Justify the investment : If you are investing money in digital marketing, the most natural thing is that you want to see with clear figures if it is paying off.

Stick with the best ideas : A marketing campaign is rarely static – more than two strategies are usually tested over the course of several months. Monitoring ROI allows you to determine which were the most effective channels and content, so that you can focus your efforts on them.

Keeps creatives grounded : Creativity is very important in marketing, but no more so than results. Taking the expected ROI into account encourages your creative department to focus on creating effective solutions.

ROI in Digital Marketing

ROI in digital marketing is relatively easy to calculate thanks to the different statistical possibilities it represents.

Even continuing with the complex case raised at the beginning. It is possible to calculate the impact of a campaign by following the behavior of users on the networks with respect to the brand . (Remember that it was a campaign to promote the image)

Few things will escape ROI measurements in digital marketing today. This is very convenient since it is the way to give a plus to the marketing work by focusing on real results.

We do not want to be persistent, but you must pay special attention to the way in which marketing campaigns are planned, try to make your goals as less ethereal as possible.

In other words, from the campaign approach , try to be quite clear about the parameters that you will use in the final measurement of the ROI for the analysis of results .

If you are going to start a campaign that only allows you qualitative results, you must keep it in mind and report what kind of results are those that will be obtained at the end of the campaign. This can save you a lot of headaches, no matter if you are in charge of creating the campaign or the owner of the company.

This is basically what you should know about ROI in digital marketing and in general, we hope you take it into account from now on considering how simple and extremely useful it can be.