Return On Investment = Total Profit / Advertising Costs
(Profit = Gross Sales - Product Costs - Discounts - Refunds)
ROI tells you the amount of profit you're earning for every dollar you spend on ads. In Peel, if you don't have product costs in place, then it is net sales / advertising costs.
Improving ROI is all about sourcing products strategically, in order to bring them in at advantageous costs while selling them for a solid profit margin.
ROI (New & Returning)
Return On Investment (New) = Total Profit / Advertising Costs; specifically for customers making first-time purchases
Return On Investment (Returning) = Total Profit / Advertising Costs; specifically for customers making repeat purchases
Updated over 1 year ago