Comments on: Why ROI Is The WRONG Way To Measure Your Product’s Marketing Program http://www.theaccidentalpm.com/marketing/why-roi-is-the-wrong-way-to-measure-your-product%e2%80%99s-marketing-program Home Of The Billion Dollar Product Manager Where You Too Can Learn To Be A Wildly Successful Product Manger Thu, 11 Mar 2010 20:43:32 +0000 http://wordpress.org/?v=abc hourly 1 By: Dr. Jim Anderson http://www.theaccidentalpm.com/marketing/why-roi-is-the-wrong-way-to-measure-your-product%e2%80%99s-marketing-program/comment-page-1#comment-877 Dr. Jim Anderson Thu, 10 Dec 2009 19:43:16 +0000 http://www.theaccidentalpm.com/?p=1249#comment-877 Saeed: So I'm with you there -- the vocabulary isn't really all that clear. I like your point though: we all have limited amounts of time and money and what we'd really like to do is to find ways to "spend" them so that we get the greatest return. For way too long marketing programs have been viewed as not being able to be measured. No matter what you call it, there has to be a way to figure out if what marketing programs you are spending your time / money on is the best for your business. Maybe what we need here is a cool sounding acronym like B-A-N-G or something like that -- we can figure out what it stands for later on...! Saeed: So I’m with you there — the vocabulary isn’t really all that clear. I like your point though: we all have limited amounts of time and money and what we’d really like to do is to find ways to “spend” them so that we get the greatest return. For way too long marketing programs have been viewed as not being able to be measured. No matter what you call it, there has to be a way to figure out if what marketing programs you are spending your time / money on is the best for your business. Maybe what we need here is a cool sounding acronym like B-A-N-G or something like that — we can figure out what it stands for later on…!

]]> By: Saeed Khan http://www.theaccidentalpm.com/marketing/why-roi-is-the-wrong-way-to-measure-your-product%e2%80%99s-marketing-program/comment-page-1#comment-855 Saeed Khan Fri, 20 Nov 2009 02:49:11 +0000 http://www.theaccidentalpm.com/?p=1249#comment-855 Hi I understand what you are trying to say, but I think you got some of the terminology confused. (Or maybe I'm confused and just don't realize!). While there is a formal financial definition for ROI, in the common business usage, (i.e. outside of finance discussions) ROI is about objectives. As you say, an investment can be in "time, money, and energy". The return on that can be in dollars, awareness, adoption etc. I don't think ROO -- Return on Objectives -- is the right phrase. The "return" has to be on the input. i.e. investment. The objectives are the goal. i.e. not the input. I can't think of a good alternate phrase or acronym, but if you want to modify ROI, then focus on finding a replacement for the R and not the I. :-) e.g. something like Achieivment on Investment. Told you I couldn't think of a good alternate! Hi

I understand what you are trying to say, but I think you got some of the terminology confused. (Or maybe I’m confused and just don’t realize!).

While there is a formal financial definition for ROI, in the common business usage, (i.e. outside of finance discussions) ROI is about objectives. As you say, an investment can be in “time, money, and energy”. The return on that can be in dollars, awareness, adoption etc.

I don’t think ROO — Return on Objectives — is the right phrase. The “return” has to be on the input. i.e. investment. The objectives are the goal. i.e. not the input.

I can’t think of a good alternate phrase or acronym, but if you want to modify ROI, then focus on finding a replacement for the R and not the I. :-)

e.g. something like Achieivment on Investment.

Told you I couldn’t think of a good alternate!

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