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What is ROI (Return on Investment)?

ROI (Return on Investment) is a financial metric used to measure the profitability or efficiency of an investment. It is calculated by dividing the net profit from an investment by the initial cost, and then multiplying by 100 to express it as a percentage.

A higher ROI indicates a more profitable investment. This metric helps businesses and individuals assess the success of their ad campaign investments and make informed financial decisions. In simple terms, ROI shows how much return you get for every dollar invested. A positive ROI means profit, while a negative ROI indicates a loss.

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