Traditional measurements of ROMI (Return on Marketing Investment) are generally calculated as either:

Short Term ROMI:

A straight forward measure of the direct value of a marketing effort by measuring the dollars of revenue (or market share or other desired measures) for every dollar of marketing spent.

Long Term ROMI:

A more complex metric designed to include other less tangible aspects of marketing effectiveness (such as brand awareness, consideration or purchase intent), to calculate both the short term (revenue / profit) and the longer term (brand awareness, consideration).

Several key limitations exist in many of the most commonly used ROMI measurements.

• Most available ROMI methods are unique for each individual communication channel (different measurements are used for print advertising and the Internet, for example). This makes apple-to-apple comparisons across several channels difficult or even impossible.
• Many calculate ROMI for a single channel independent of all other channels, which ignores the reality that  the average consumer is influenced by 3-4 separate communications, - and combine these experiences and the messages received - during the purchase decision making process
• The vast marketing influence contributed by word of mouth is often overlooked in currently used ROMI calculations because it is difficult to accurately measure for an individual communications channel.

Foresight Research’ proprietary MARCOM calculation for Return on Marketing Investment overcomes these shortcomings, providing a highly accurate tool for comparing the ROMI of all marketing communication channels on a level playing field. Contact a member of our team for additional information and to discuss how our approach can arm you with the answers you need to succeed in your business goals.