ROI Calculator
Total Gain on Investment 0
Return on Investment (ROI) 0
Simple Annual (ROI) 0
Compound Annual Growth Rate (CAGR) 0
What is an ROI Calculator?
The ROI (Return on Investment) Calculator helps you calculate the profitability of an investment. ROI is a key metric used by businesses and investors to evaluate how efficiently an investment is generating returns. The formula for ROI is simple:
How to Use the ROI Calculator:
- Enter the Gain from Investment: This is the total amount of money you've earned or expect to earn from the investment.
- Enter the Cost of Investment: This is the total cost you incurred to make the investment.
- Click "Calculate ROI": The calculator will instantly display the return on investment as a percentage.
Why Use the ROI Calculator?
- Measure Profitability: The ROI formula tells you how much profit you're making relative to the cost of the investment. This helps you determine whether an investment is worth it.
- Make Informed Decisions: Use the ROI percentage to compare different investments. A higher ROI indicates a more profitable investment.
- Evaluate Marketing Campaigns: Businesses can use the ROI calculator to measure the success of marketing campaigns or product launches by analyzing returns on ad spend or other costs.
- Investor Tool: Investors can assess the performance of their portfolio or future investments using the ROI percentage.
Why Is ROI Important?
- Financial Insights: ROI is a simple and effective way to evaluate the profitability of any investment or expenditure.
- Better Investment Decisions: By comparing the ROI of multiple investments, you can choose the one that offers the highest return.
- Marketing Efficiency: For businesses, tracking ROI on marketing campaigns helps allocate budgets more effectively to the strategies that deliver the best results.
ROI FORMULA
ROI=
- Gain form Investment
- Cost of Investment
Amount spend
x100
This formula gives you the ROI as a percentage, making it easy to compare different investments.
Examples of ROI Calculation
Marketing Campaign: If you spent $500 on a campaign and earned $800 in sales from it, your ROI would be:
ROI=
- 800
- 500
500
x100
ROI=60%
This means you gained a 60% return on your marketing investment.
Investment in Stock: If you bought stock for $1,000 and sold it for $1,200, your ROI would be
ROI=
- 800
- 500
500
x100
ROI=60%
This means your stock investment returned 20%.
Additional Features
- Simple & Quick Calculation: Enter the gain and cost, and the calculator does the math for you in seconds.
- Real-Time Results: Get immediate feedback on your investments without complicated formulas.
- User-Friendly Interface: The tool is designed to be easy to use, with intuitive input fields and clear results.
- Mobile-Friendly: The calculator works seamlessly on mobile devices, making it accessible from anywhere.