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Return on investment (ROI) is a term marketers love to hate. It’s a metric that organizations use to indicate a marketing campaign’s success. To some marketers, ROI is just a pain and doesn’t tell a good story for their efforts. But truth be told, calculating the ROI of a marketing campaign can provide a therapeutic sense of accomplishment to some marketers, and pat on the back, a reflection that you are being a good steward of your marketing dollars.

According to the Harvard Business Review, marketers are estimated to spend $2.1 trillion on marketing in 2019. That’s a lot of money!! It’s no wonder it’s important to be able to tell your executives it was money well spent, so they don’t turn off the faucet.

From a marketer’s perspective, understanding the ROI is important for future planning. Knowing what campaigns had a great return and which one’s didn’t, will provide insight into future strategies and goals.

Marketers sometimes get a bad rap for spending company dollars willy-nilly. Use your ROI as justification for those nay-sayers the next time they come around. Prove to them and your executive team that marketing is an important part of your organization.

The one concern marketers raise with traditional ROI calculations is that they only take the short-term viewpoint into consideration. Take an ongoing loyalty campaign, for example – how do you calculate the ROI of ongoing loyalty? Some of these calculations can get tricky, and some will rely on knowing the lifetime value of certain products and services. But they can be done. We understand not every marketer also has a finance degree, and we’re here to help. If you’re looking to show your value to an organization, let B2E help you with some of your ROI calculations. Let’s crunch some numbers!

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