… when you are talking about an outcome that is non-monetary.
Awareness of a cause is not a monetary outcome. Certainly you can save money on the promotion of the cause, but your end goal is awareness. It’s non-monetary. You either generated more awareness or you didn’t.
Election to office is a binary, non-monetary outcome. Either you won or you didn’t. The bribes you take in office might be a return on your investment, Congressman, but the outcome itself is non-monetary.
Subscribers to your email list is not a monetary outcome. The subscriber can have value downstream if you plan to monetize your list, but if your only goal is subscribers, then it’s a non-monetary outcome.
The only time that ROI applies is when your outcome involves dollar earnings and dollar expenditures.
(technically, for the math folks, you can have ROI without earnings if you are okay with -100% ROI, where you lose it all. 0 earned – x spent / x spent = -100% ROI)
You might also enjoy:
- How to Set Your Public Speaking Fee
- The Evolution of the Data-Driven Company
- Best Practices for Public Speaking Pages
- How to Set Your Consultant Billing Rates
Want to read more like this from Christopher Penn? Get updates here:
Get your copy of AI For Marketers (2019 Edition)