ROMI
Return on Marketing Investment
ROMI (return on marketing investment): a metric that compares profit from marketing spend with its cost and shows how much is earned on each unit of currency invested.
ROMI (Return on Marketing Investment) is calculated as: (marketing revenue − marketing costs) / marketing costs × 100%. Sometimes gross profit is used as revenue instead of total revenue. This should be agreed in advance, otherwise the figures of different teams and channels cannot be compared.
## How it works
Revenue is usually attributed to a channel via a tracker, postbacks or UTM tags. Costs include not only traffic purchases but also creatives, affiliate network commissions, lead payments and a share of operating expenses if the team has agreed to assign them to marketing. The more fully costs are accounted for, the more honest the figure.
## Where it is used and what affects it
In gambling and betting, ROMI is calculated from player deposits and GGR/NGR over a period, checked against the CPA or revshare deal. Bonus policy, hold and player payouts affect the result. In crypto and fintech, revenue often comes later: registrations, KYC completion and first transactions are counted. In dating and nutra, the main revenue arrives after lead generation, so the attribution window and refunds significantly change the outcome. In nutra, cash-on-delivery (COD) orders that are refused on receipt and refunds that are not accounted for produce an inflated ROMI.
## Common mistakes
ROMI is calculated on a last-click basis without accounting for the contribution of other channels. Revenue is used instead of margin. Chargebacks, reserves and deferred payouts are not taken into account. Periods of different lengths or cohorts with different lifetimes are compared. ROMI is confused with ROI, where the denominator includes all business costs, not only marketing.
FAQ
How does ROMI differ from ROI?
ROMI measures the efficiency of marketing spend specifically, while ROI accounts for all business costs. As a result, ROI is usually lower at the same revenue. Channel budget decisions more often rely on ROMI.
What is a good ROMI?
There is no universal threshold: it depends on the vertical, payment model, margin and payback period. Benchmarks are set by the company's internal goals and by comparison with the channel's baseline.
Why do ROMI figures in the tracker and in accounting not match?
The usual reasons are different attribution windows, crediting delays, hold and chargebacks, and the difference between revenue and margin. Reconciling both using one methodology helps identify the discrepancies.