# Return on investment (ROI)

The net gain from an investment divided by its cost.

The net gain from an investment divided by its cost.

## An example

A project costing $1,000 and generating $1,300 after other relevant costs has a $300 net gain and 30% ROI.

## Why it matters

Define costs and time horizon. Revenue divided by ad spend is ROAS, not net ROI.


## Related terms
- [Attribution](https://jolts.xyz/resources/glossary/attribution)
- [Attribution window](https://jolts.xyz/resources/glossary/attribution-window)
- [Conversion](https://jolts.xyz/resources/glossary/conversion)
- [Conversion tracking](https://jolts.xyz/resources/glossary/conversion-tracking)

## Next step

[Explore advertising](https://jolts.xyz/advertisers) or [monetize your AI app](https://jolts.xyz/publishers).