04 Jun 2020

Return On Experience (ROX) vs Return On Investment (ROI)

A shift has entered the general marketing consciousness.

Customer experience is inching towards the centre of marketing. Return on investment (ROI) is not a thing of the past, but it will eventually share its throne with its younger sister, return on experience (ROX).

According to the PWC's 10th annual Global Consumer Insights Survey, businesses need to employ a metric that focuses on the experiences of the customer. Its business benefits will include increased customer lifetime value, loyalty, order value, retention, mobile and web conversion rates, and much more.

Whether you head a funded startup, manage a mid-sized consulting firm, or own a multinational healthcare company, standing out from the crowd is vital to the success of your business, and one of the most efficient ways you can do that is understanding and implementing ROX.

Return on investment

What is Return on Investment (ROI)?

You've heard of this one, and probably read a few blog posts on it, if not an actual paperback.

The traditional measure of performance – or, more specifically, profitability – is ROI, which assesses the efficiency of investments. It is calculated by dividing the return of an investment by the cost of the investment.

Typically it is expressed as a percentage rather than a ratio, despite the fact that it is often defined as a ratio that compares the loss or gain from an investment or several investments.

ROI, along with other measures, such as net present value (NPV) and internal rate of return (IRR) are metrics that are employed to rank the appeal of investment alternatives.

What is Return on Experience (ROX)?

ROX is known for its ability to make sound observations, analyze results, and derive actions and lessons. It measures the experience of customers in using a service or buying a product. How people interact with your brand is key to this.

Return On Experience

Factors that drive excellent customer experience and lead to increased ROI:

  1. Using emotion to positively affect business and brand

  2. Consumers acting as marketers with referrals

  3. Understanding consumer behavior

  4. Blending employee experience (EX) with customer experience (CX) by involving your employees in your marketing plans

  5. Building communities to offer your customers a platform for positive engagements

  6. Planning your "magic moments" that will increase customer loyalty

  7. Knowing the value of what you are offering by asking yourself, "Is it really needed?"

increase ROI

Difference Between ROI and ROX

The common denominator between ROI and ROX is that they both measure, in some way, how well your company is succeeding. There are, however, some key differences:

  1. ROX is more of an "abstract measure" than ROI. How does one place a number on a customer's loyalty? ROI is measured in terms of reach, impressions, and clicks. ROX captures the short and long term impact of experiences on your customers.

  2. ROX relies heavily on user experience (UX), whereas ROI relies largely on reducing costs and increasing revenue.

  3. ROI is a great measure for ads, but can fall short in assessing experiences. ROX, however, uses a mix of analog and digital tracking for its measures.

ROI and ROX difference


The best business practices will use a balanced amalgamation of ROI and ROX to measure success.

BluEnt is your ideal partner to both increase your revenue and create and retain customer loyalty. Backed by decades of experience and the strength of a talented team, our understanding of both ROI and ROX runs deep.

We offer mobile app development and web app services, CRM solutions, collaborative tools, intranet portal development, software development services, and more.

Whether you want to create a snazzy new mobile app or undertake app migration, BluEnt's services are just a click away. Our clients include funded startups, mid-sized healthcare firms, fortune companies, and more.

Your success is our pride. Contact us to get the IT services you didn't know you needed!

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Your Citation

Bluent Tech. "Return On Experience (ROX) vs Return On Investment (ROI)" CAD Evangelist, Jun. 04, 2020, https://www.bluent.net/blog/return-on-experience-rox-vs-return-on-investment-roi/.

Bluent Tech. (2020, June 04). Return On Experience (ROX) vs Return On Investment (ROI). Retrieved from https://www.bluent.net/blog/return-on-experience-rox-vs-return-on-investment-roi/

Bluent Tech. "Return On Experience (ROX) vs Return On Investment (ROI)" Bluent Tech https://www.bluent.net/blog/return-on-experience-rox-vs-return-on-investment-roi/ (accessed June 04, 2020 ).

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