The Myth Behind the "ROI'' Calculator

Throughout my career in Software Sales, and even before, I’ve found myself repeatedly in conversations about ROI. The reason this term comes up so often is clear: it’s one of the most, if not the most, common tools used to persuade prospects that investing in a particular solution will lead to a guaranteed return. This is typically done by entering figures into an ROI calculator—either a simple spreadsheet or a more polished tool embedded on a landing page (which makes it feel more credible).

However, there’s a crucial aspect missing when we talk about ROI: uncertainty. What I mean by this is that there is no scientific or guaranteed way to prove that a specific dollar amount in return will materialize after purchasing a solution. The outcome—whether in increased revenue or cost savings—cannot be predicted with certainty.

I firmly believe the conversation around ROI needs a more realistic and honest approach.

Instead of relying on numbers and formulas, the best way to discuss ROI is by telling a story. Sharing real examples of similar organizations—ones who are already clients and have faced similar challenges—creates more credibility and sincerity in the pitch. This approach carries more weight than simply crunching numbers to justify the expense of yet another tech solution. Deep down, we know that increased profit and cost reduction are not guaranteed, especially when you factor in the unpredictable economic, social, and political conditions we can’t control.

The most powerful way to position ROI is by saying, “We worked with X company and helped them achieve [specific goal] within [timeframe].” This is a far more effective and authentic way to demonstrate ROI.