Free ForeverNo SignupAnnualised ROIUpdated 2026

ROI Calculator

Calculate the return on any investment โ€” marketing campaigns, product features, hiring, or capital expenditure.

Return on Investment (ROI) measures the profitability of an investment relative to its cost. A 200% ROI means you earned $2 back for every $1 invested โ€” a $3 return on a $1 investment. ROI is calculated as (Return โˆ’ Investment) รท Investment ร— 100. Annualised ROI accounts for how long the investment takes to generate that return.

All costs associated with this investment: spend, labour, infrastructure

$

Total revenue or value generated attributable to this investment

$

How many months the investment ran (for annualised ROI)

mo

The Formula

ROI (%) = (Return โˆ’ Investment) รท Investment ร— 100

In plain English

Subtract the investment from the total return to get net return. Divide by the investment amount and multiply by 100.

Worked Example

Investment: $50,000. Return: $180,000. Net Return = $130,000. ROI = $130,000 รท $50,000 ร— 100 = 260%.

When to Use ROI vs Other Marketing Metrics

ROI is a general-purpose return metric. For paid advertising specifically, use ROAS (Return on Ad Spend) โ€” it's faster to calculate and better for channel-level optimisation. For customer acquisition, use LTV:CAC. ROI is most useful for comparing heterogeneous investments: "Should we hire a content writer or buy more Google Ads?"

The key limitation of ROI: it ignores time value. A 100% ROI over 5 years is not as good as a 100% ROI over 6 months. Use annualised ROI when comparing investments of different durations.

100%+

Strong ROI threshold for marketing investment

Time

Key variable ROI ignores without annualisation

LTV:CAC

Better ROI metric for customer acquisition

ROAS

Better ROI metric for paid advertising channels

ROI Benchmarks by Investment Type (2026)

Investment TypeTypical ROITimeframeAssessmentStatus

SEO / Content

200โ€“500%12โ€“24 moExcellent long-term

Paid Social / Search

100โ€“300%1โ€“3 moGood if optimised

Event / Trade Show

50โ€“150%3โ€“12 moDepends on follow-up

Outbound SDR

50โ€“200%6โ€“18 moExecution-dependent

Brand Advertising

Unmeasured12โ€“36 moHard to attribute

Source: HubSpot State of Marketing 2025 ยท Gartner CMO Survey 2025

Common Mistakes

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Not accounting for all investment costs

ROI looks better when you undercount costs. Include staff time (at salary cost), tool subscriptions, agency fees, and opportunity cost. A campaign that "only cost $10K in ad spend" but required 40 hours of a $120K/year marketer's time actually cost $12,300.

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Misattributing revenue to the investment

Multi-touch attribution is hard. A customer who clicked a Google Ad and then signed up from a content piece โ€” what fraction of their revenue belongs to each? Without clear attribution rules, ROI is misleading. Define attribution methodology first.

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Comparing ROI across investments of different durations

A 100% ROI in 1 month is dramatically better than 100% in 2 years. Always use annualised ROI when comparing investments of different durations. Otherwise you'll over-invest in slow long-cycle returns and miss short-cycle opportunities.

Frequently Asked Questions

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