Creator Concepts: ROI

What is ROI?

ROI (Return on Investment) measures how much a sponsor or brand will return from investing in you for a campaign.

Why is it important?

Brands want to ensure that their partnership is beneficial and that they are achieving enough sales, conversions, and awareness for their sponsorship.

How is ROI calculated?

ROI is usually given as a percentage. The formula for calculating ROI is:

What factors determine ROI?

  • Reach: impressions, viewership, engagements
  • Response: click-through rate or ad interactions
  • Conversions: sales, downloads, sign-ups, etc.

Be sure to track your ROI for future campaigns

Next time you partner with a brand, you’ll have data to leverage pay.

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