What it means
Marketing ROI compares the profit or revenue attributed to marketing against the cost of that marketing. The standard formula is (attributed revenue − marketing cost) ÷ marketing cost. It is only as credible as the attributed revenue input.
Convertmax take
Platform ROAS is not revenue ROI. Convertmax connects spend to closed outcomes so ROI reflects the business, not a single ad account.
Related terms
- Attributed RevenueRevenue credited to campaigns, channels, or touchpoints according to an attribution model.
- Customer Acquisition Cost (CAC)Spend required to acquire one customer, usually marketing spend ÷ new customers.
- ROASReturn on ad spend: conversion value ÷ ad spend, usually inside one ad platform.