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Whats the best way to Calculate ROI?

Visitor ✭ ✭ ✭
# 1
Visitor ✭ ✭ ✭

Hello friends, can you explain me that how i can make ROI Analysis of Google Adwords Campaign.

1 ACCEPTED SOLUTION

Accepted Solutions
Marked as Best Answer.
Solution
Accepted by topic author Dharam Dagur
September 2015

Re: Whats the best way to Calculate ROI?

Collaborator ✭ ☆ ☆
# 2
Collaborator ✭ ☆ ☆

HI

This is a very interesting question and I have to say the answer depends on what industry you are serving. 

Normally the formula will be 

(Revenue - AdSpent ) / Adspent *100 

But this is one time calculation and in case of some industries like ecom it might not be entirely correct one as acquired customer ends up spending a lot more thatn 1st time purchase on ecom websites where you might want to consider analytics custom variables to track revenue from a particular customer over a period of time.

Hope this helps

 

 

Regards, Nik
LinkedIn  |   @nikhilparachure | My Blog

View solution in original post

Marked as Best Answer.
Solution
Accepted by topic author Dharam Dagur
September 2015

Re: Whats the best way to Calculate ROI?

Collaborator ✭ ☆ ☆
# 2
Collaborator ✭ ☆ ☆

HI

This is a very interesting question and I have to say the answer depends on what industry you are serving. 

Normally the formula will be 

(Revenue - AdSpent ) / Adspent *100 

But this is one time calculation and in case of some industries like ecom it might not be entirely correct one as acquired customer ends up spending a lot more thatn 1st time purchase on ecom websites where you might want to consider analytics custom variables to track revenue from a particular customer over a period of time.

Hope this helps

 

 

Regards, Nik
LinkedIn  |   @nikhilparachure | My Blog