Return on Marketing Investment
Return on Marketing Investment (ROMI) measures how much revenue or profit marketing generates for every unit of money spent on it. It is typically calculated as the incremental profit attributable to marketing minus marketing cost, divided by that cost, expressed as a percentage or ratio to judge spending efficiency.
ROMI is used to compare campaigns and channels and to defend or reallocate budget. Because it tries to isolate the profit marketing actually caused, strong ROMI analysis relies on attribution and, ideally, incrementality testing to separate marketing's impact from sales that would have happened anyway.
A common pitfall is crediting all revenue from buyers who touched marketing as ROMI, which overstates results. ROMI differs from Return on Ad Spend, which focuses narrowly on advertising revenue rather than total marketing profit.
Last updated: 14 June 2026