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ROI

ROI (Return on Investment) measures how much money you earn relative to how much you invest.

EC

Crealo Team

Creator economy experts helping creators monetize their skills

Published: 2026-01-25·Updated: 2026-02-07

Definition

ROI (Return on Investment) is a financial metric that measures the profitability of an investment. It's calculated as: (Gain - Investment) / Investment x 100. For creators, ROI helps evaluate which marketing activities, products, or tools generate the highest return.

Examples

  • 1If you invest $100 in advertising and generate $500 in sales, your ROI is 400%.
  • 2A course that cost you $500 to create and has generated $5,000 in sales has a 900% ROI.
  • 3Email marketing has an average ROI of 4,200% ($42 for every $1 invested).

How to apply it

Calculate the ROI of each marketing activity and product. Invest more in what has the highest ROI and reduce or eliminate what has negative ROI.

Frequently asked questions

Related terms

Business

MRR

MRR (Monthly Recurring Revenue) is the predictable income you receive each month from subscriptions.

Marketing

Conversion Rate

Conversion rate is the percentage of visitors who take the desired action.

Marketing

Affiliate Marketing

Affiliate marketing is a model where you earn commissions by promoting other people's products.

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