Channel-Specific ROI
Measuring the return on investment for each individual marketing channel to understand where to allocate or reduce spending.
Implications
The return on investment (ROI) calculated for individual sales or distribution channels, used to assess the profitability and effectiveness of each channel, helping to inform resource allocation and channel strategy decisions.
Example
Example: A consumer goods company calculates the channel-specific ROI for its e-commerce platform and physical stores, finding that online sales deliver higher returns, leading to increased investment in digital marketing and infrastructure.
Related Terms
Different from overall ROI, which looks at the company�s total investment returns, channel-specific ROI breaks down performance by each channel to identify the most profitable pathways.
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