LECTURE 09 | What is ROI? | Calculate Your Amazon FBA Profit Margin in 2024 | E-COMMERCE HOUSE

LECTURE 09 | What is ROI? | Calculate Your Amazon FBA Profit Margin with Full Breakdown in 2024 |

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"Mastering Amazon ROI: Boost Your Profits with Smart Investment Strategies"
ROI, or Return on Investment, is a key metric used to evaluate the profitability and efficiency of an investment. In the context of Amazon, ROI typically refers to the return realized from investments made in selling products on the platform. It's calculated by dividing the net profit generated from the investment by the initial cost of the investment and expressing the result as a percentage.

For example, if a seller invests $1000 in purchasing products to sell on Amazon and generates $2000 in net profit, the ROI would be calculated as follows:

ROI = (Net Profit / Cost of Investment) * 100
ROI = ($2000 / $1000) * 100
ROI = 200%

This means that for every dollar invested in purchasing products, the seller earned a return of $2
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