ROI
the gain from an investment relative to its cost
In more detail
1. (noun) the profit or benefit obtained from an investment or activity, expressed as a percentage
2. (noun) abbreviation for "return on investment"
Examples
- The company saw a strong ROI from their marketing campaign.
- Investors are looking for a high ROI on their money.
How to use ROI
ROI is a technical term used primarily in business, finance, and marketing contexts to measure the effectiveness or profitability of an investment or campaign. It is commonly expressed as a percentage and used when comparing different investments or assessing performance outcomes. The acronym is often preferred in professional writing and presentations over the full phrase.
Common phrases
- calculate ROI
- measure ROI
- improve ROI
- strong ROI
- ROI analysis
- track ROI
Synonyms
return · yield · gain · profit · payback
Opposites
loss · deficit
Word family
return · investment
A common mistake
Learners sometimes confuse ROI with gross profit, forgetting that ROI must account for the initial investment amount in its calculation, making it a proportional measure rather than an absolute figure.
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