Why it matters
Unlike ROAS, ROI subtracts all costs, including product, labor and ad spend. It is the better measure of true profitability but requires complete cost data.
Glossary // R
Return on investment measures the profit from an investment relative to its cost, calculated as net gain divided by cost.
Unlike ROAS, ROI subtracts all costs, including product, labor and ad spend. It is the better measure of true profitability but requires complete cost data.