What to do if the ROI is less than 100% or lower than in the previous period

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mehadihasan123456
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Joined: Sat Dec 21, 2024 7:14 am

What to do if the ROI is less than 100% or lower than in the previous period

Post by mehadihasan123456 »

How to increase ROI

Set clear goals for each advertising channel – in numbers that are realistically achievable. Not “increase conversion,” but “convert 20% of leads in 1 month.”
Conduct A/B testing of elements, design, targeting and give preference to the options that work better.
Reduce advertising costs, analyze the feasibility of expenses.
Contextual Advertising Case: Launching a Grocery Delivery Service
Any campaign, even an unprofitable one, provides a significant amount armenia email list of data for reflection and analysis. Characteristics of the target audience, use on different types of devices, geolocations - all this allows you to correctly adjust the existing and develop a new effective business strategy.

Visual examples of calculation
If we calculate the coefficient for a specific advertising channel, then we substitute into the ROI formula only those incomes and expenses that are associated with this project.

Return on investment in retail
Before Easter, the bakery launched two contextual ads: for Easter cakes and holiday cupcakes. The advertising budget for each was $300. As a result of the advertising, they sold 200 Easter cakes for $5 and 250 cupcakes for $2. Let's calculate which ad was more effective:



We see that the 1st project is profitable, and the 2nd is unprofitable and did not pay for itself. Conclusion: for the next holiday, we focus on the range of Easter cakes.
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