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July 2023

Why we need to change ROI – today

We’ve all experienced it: that eye-roll moment when someone brings up return on investment (ROI) as the sole indicator of success or justification during a sales and marketing meeting. And it’s no surprise, considering that the term has been bandied around for nearly a century since its inception in 1914. But times have changed, and businesses today look vastly different. So, why do we still rely on this outdated and antiquated practice to measure our organisations, teams and budgets? The corporate landscape has undergone significant transformation and it’s time we shift our thinking. The primary issue with ROI is that it focuses solely on economics – it only assesses the financial elements of a deal, campaign or initiative. However, as partner marketers, we understand that achieving business growth and boosting sales is like an iceberg; the part you see (and measure with ROI) is only a fraction of the activity and time that goes into winning a deal. It’s not that ROI lacks usefulness; it remains a highly effective way to ...

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