Measuring and understanding marketing Return on Investment (ROI) is very important for businesses because it helps them to understand how successful their marketing efforts are and what or how they need to change their marketing strategies to improve their marketing ROI. Here’s why it’s important:

• Decision making: Data provided by ROI analyses help businesses make decisions. For example, ROI analyses can help provide businesses with the current trends and understand consumer behavior which can allow them to change their marketing to fit those preferences.
• Resource allocation: Measuring ROI can help businesses improve their resource allocation.
• Performance evaluation: Measuring marketing ROI allows businesses to see which marketing strategies/campaigns are doing better than others and what they can do to improve them.