Here's a very simple example to understand what I'm talking about: imagine that to promote your e-commerce you decide to create ads with Facebook Ads . Set a budget of about 4 euros per day, and at the end of the month you will have brought home - thanks to those ads - a total income of 300 euros, against an investment of 110 euros. And here you can calculate your return on investment.
If your ROI is greater than or equal to 0, your investment is profitable.
If your ROI is less than 0, your investment is not profitable.
And here we come to the crux of this uae email list article: how to calculate ROI?
Return On Investment: formula
Understanding how ROI works will help you manage your business and make more informed business decisions, ensuring you’re making money no matter how much you invest.
But what does ROI measure? Calculating ROI is equivalent to calculating the return on investment, so ROI indicates in percentage how much money you will be able to generate thanks to your investment.
How to calculate the ROI of a project? With a simple formula.
calculate the ROI
To calculate the ROI you will therefore need to know the net profit of your investment, divide this amount by the total cost you had to sustain, and multiply the result by 100.
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