When your boss, Fernando, says that you need a ROMI of 5.0, he is describing the ________ for the marketing investment.
A) risk factor
B) suitability factor
C) total rate
D) hurdle rate
E) bounce rate

Question

Quizplus · Accepted Answer

ROMI stands for "return on marketing investment" and is a measure of the revenue generated by a marketing campaign compared to the cost of the campaign. A ROMI of 5.0 means that for every dollar spent on marketing, the company expects to generate $5.0 in revenue. This is known as the hurdle rate, which is the minimum rate of return required for an investment to be considered profitable. Therefore, the correct answer is D) hurdle rate.

When Your Boss, Fernando, Says That You Need a ROMI