From Jeff’s Desk: What’s the Difference Between ROO and ROI?

I recently read a deeply enlightening article by a marketing colleague of mine (thanks Mel!) on the difference between ROI (Return on Investment) and ROO (Return on Objectives) Read it here.

ROI is a financial metric, and as author Stephan Murtagh notes, the outcome depends on the accuracy of data input, and how you choose to evaluate the output.

ROO is a much more strategic concept – and perhaps far more valuable.

In the projects Image 4 designs and delivers, many outcomes are tangible and measurable, but not always financial. ROO is a more wholistic, executive look at the efficacy of any marketing execution – not just a trade show event. As an example, Image 4 is headed to the most important show in one of our industry verticals. Image 4 is a known, respected, yet still emerging provider in this market. So while we do have metrics that we believe will reveal the value of the trade show from a financial perspective, we also have numerous strategic objectives that, if accomplished, will positively affect our business for years to come. We’re also market testing a new service line and positioning – not too much riding on this show!

At this event, it’s important for us to present as the major service provider that we are. It’s also critical to message clearly what we are providing, and to whom. Credibility counts, so we intend to showcase the awards we’ve won and the client recognition we’ve received. Our sales and service objectives include meeting new prospects and learning about new business opportunities. We always want to solidify existing relationships and accept feedback on past and current projects – all in the interest of delivering the optimum experience for our constituents.

Since we’re a national-scope provider, we’ll have the opportunity to invest time with our far-flung client network, which potentially reduces our sales staff travel time and costs.

Also, critically, our executive team will take the pulse of the industry. We’ll learn trends, industry news, talent shifts, project success and failures – right from the source. This information is so valuable as we look over the horizon into our 3-year plan.

I like the concept of ROO. It helps keep my eyes up and looking forward, and my brain thinking large and integrated.

tradeshow booth design

 

 



From Jeff’s Desk: What’s the Difference Between ROO and ROI?

By Image4 Marketing, posted on July 8, 2024

I recently read a deeply enlightening article by a marketing colleague of mine (thanks Mel!) on the difference between ROI (Return on Investment) and ROO (Return on Objectives) Read it here.

ROI is a financial metric, and as author Stephan Murtagh notes, the outcome depends on the accuracy of data input, and how you choose to evaluate the output.

ROO is a much more strategic concept – and perhaps far more valuable.

In the projects Image 4 designs and delivers, many outcomes are tangible and measurable, but not always financial. ROO is a more wholistic, executive look at the efficacy of any marketing execution – not just a trade show event. As an example, Image 4 is headed to the most important show in one of our industry verticals. Image 4 is a known, respected, yet still emerging provider in this market. So while we do have metrics that we believe will reveal the value of the trade show from a financial perspective, we also have numerous strategic objectives that, if accomplished, will positively affect our business for years to come. We’re also market testing a new service line and positioning – not too much riding on this show!

At this event, it’s important for us to present as the major service provider that we are. It’s also critical to message clearly what we are providing, and to whom. Credibility counts, so we intend to showcase the awards we’ve won and the client recognition we’ve received. Our sales and service objectives include meeting new prospects and learning about new business opportunities. We always want to solidify existing relationships and accept feedback on past and current projects – all in the interest of delivering the optimum experience for our constituents.

Since we’re a national-scope provider, we’ll have the opportunity to invest time with our far-flung client network, which potentially reduces our sales staff travel time and costs.

Also, critically, our executive team will take the pulse of the industry. We’ll learn trends, industry news, talent shifts, project success and failures – right from the source. This information is so valuable as we look over the horizon into our 3-year plan.

I like the concept of ROO. It helps keep my eyes up and looking forward, and my brain thinking large and integrated.

tradeshow booth design

 

 


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