Browse Definitions:
Definition

return on marketing investment (ROMI)

Contributor(s): Guy R. Powell

Return on marketing investment (ROMI) is a metric used to measure the overall effectiveness of a marketing campaign to help marketers make better decisions about allocating future investments. ROMI is usually used in online marketing, though integrated campaigns that span print, broadcast and social media may also rely on it for determining overall success. ROMI is a subset of ROI (return on investment). 

In the simplest sense, ROMI is measured by comparing revenue gains against marketing investment. This calculation, however, reflects only the direct impact of marketing investment on a business's revenue. As a result, many digital marketers include dwell time or brand awareness in their ROMI metrics in an effort to quantify less tangible benefits and target future campaigns more effectively. According to ROMI expert Gary R. Powell, with the right data and analytics, marketers can deliver between 8% - 15% increased revenue, profit and market share to the client without any increase in marketing investment.

Return on marketing opportunity (ROMO) is a similar metric used by digital marketers that focused on the wider influence of a campaign. Both terms are part of a wider attempt in the industry to measure impact-based advertising.

Learn more about IT:
>
 Marketing Evolution.com features a downloadable case study about evaluating the return on marketing objectives (ROMO). (PDF)
> Guy R. Powell explains advertising, branding, ROMI and PR ROI in his book, "Return on Marketing Investment."
 

This was last updated in October 2008 ???publishDate.suggestedBy???

Start the conversation

Send me notifications when other members comment.

By submitting you agree to receive email from TechTarget and its partners. If you reside outside of the United States, you consent to having your personal data transferred to and processed in the United States. Privacy

Please create a username to comment.

-ADS BY GOOGLE

File Extensions and File Formats

SearchCompliance

  • risk map (risk heat map)

    A risk map, also known as a risk heat map, is a data visualization tool for communicating specific risks an organization faces. A...

  • internal audit (IA)

    An internal audit (IA) is an organizational initiative to monitor and analyze its own business operations in order to determine ...

  • pure risk (absolute risk)

    Pure risk, also called absolute risk, is a category of threat that is beyond human control and has only one possible outcome if ...

SearchCloudProvider

  • cloud ecosystem

    A cloud ecosystem is a complex system of interdependent components that all work together to enable cloud services.

  • cloud services

    Cloud services is an umbrella term that may refer to a variety of resources provided over the internet, or to professional ...

  • uncloud (de-cloud)

    The term uncloud describes the action or process of removing applications and data from a cloud computing platform.

SearchSecurity

  • cyberextortion

    Cyberextortion is a crime involving an attack or threat of an attack coupled with a demand for money or some other response in ...

  • Cybercrime

    Cybercrime is any criminal activity that involves a computer, networked device or a network.

  • National Security Agency (NSA)

    The National Security Agency is the official U.S. cryptologic organization of the United States Intelligence Community under the ...

SearchHealthIT

  • Practice Fusion

    Practice Fusion Inc. is a San Francisco-based company that developed a free electronic health record (EHR) system available to ...

  • RHIA (Registered Health Information Administrator)

    An RHIA, or registered health information administrator, is a certified professional who oversees the creation and use of patient...

  • 21st Century Cures Act

    The 21st Century Cures Act is a wide-ranging healthcare bill that funds medical research and development, medical device ...

SearchDisasterRecovery

SearchStorage

  • Random Access Memory (RAM)

    Random Access Memory (RAM) is the hardware in a computing device where the operating system (OS), application programs and data ...

  • floating gate transistor (FGT)

    A floating gate transistor (FGT) is a complementary metal-oxide semiconductor (CMOS) technology capable of holding an electrical ...

  • bad block

    A bad block is an area of storage media that is no longer reliable for storing and retrieving data because it has been physically...

SearchSolidStateStorage

  • hybrid hard disk drive (HDD)

    A hybrid hard disk drive is an electromechanical spinning hard disk that contains some amount of NAND Flash memory.

Close