ROI Calculator
Calculate return on investment for any business project, marketing campaign, or capital expense. Get ROI%, net profit, annualized ROI, and payback period instantly.
Frequently Asked Questions
What is a good ROI percentage?
A "good" ROI depends on the investment type. For Indian stock market investments, an annualized ROI of 12–15% over the long term is considered strong. For digital marketing campaigns, a 300–500% ROI (₹3–5 returned per ₹1 spent) is a healthy benchmark. Business capital investments typically require at least 15–25% ROI to justify the risk. IT automation projects often deliver 200–400% ROI over three years through measurable productivity savings and reduced manual overhead.
How do I calculate ROI for a digital marketing campaign?
For digital marketing, ROI = ((Revenue Generated − Campaign Cost) ÷ Campaign Cost) × 100. If you spent ₹50,000 on Google Ads and generated ₹2,00,000 in sales, ROI = ((2,00,000 − 50,000) ÷ 50,000) × 100 = 300%. Use net revenue (after product cost) for accuracy. Attribution is crucial — use UTM parameters and conversion tracking in Google Analytics to isolate revenue directly attributable to each campaign rather than attributing all sales to one channel.
What is annualized ROI and why does it matter?
Annualized ROI converts a total return into a yearly rate, so you can fairly compare investments of different durations. A 60% total ROI over 3 years is not the same as 60% per year — the actual annualized rate is approximately 16.96% using the formula: ((1 + ROI/100)^(12/months) − 1) × 100. This matters when comparing, say, a 6-month marketing campaign with a 2-year equipment investment — annualizing both figures puts them on equal footing for capital allocation decisions.