What was your ROI for tournaments last month? If you don’t know and don’t track, how do you know how you are doing? How are you monitoring your performance?
What is ROI?
ROI is the abbreviation for Return on Investment, the term used all over the world, particularly for investment and business purposes but also amongst serious tournament poker players. It is a way to track results and understand how you are performing. It can also be used to judge whether a particular game or format is appropriate for you, whether it’s even worth playing.
How is ROI Calculated?
Working out your return on investment is very easy. All you have to do is divide your overall profits/earnings by the amount you spent and multiply by 100 to give you the %. Please note that profits mean the amount above the buy in e.g. if you buy in for $100 and cash for $125, then your earnings or profit are $25.
What ROI Should I Expect?
I don’t think there’s a universal target for poker ROI but obviously the higher, the better. Think of it this way, for each $1 you invest, how much do you hope to make from it? 30 cents, 40 cents? I think the key is to monitor and improve your ROI over time. It’s worth noting, that you need data and a decent sample size to draw interpret ROI. A sample size of 10 tournaments and a 500% ROI is unlikely to be sustainable. Data doesn’t lie and you need a decent amount before you can brag about having a massive ROI.
How Should I Track ROI?
The best way to track tournament ROI is to record your results every time you play. I recommend recording it on an excel file, a column for date, spend and earnings. This can easily be converted to graphs or charts over time. The important thing is to make a habit of recording your results every time. After all, the information will only be as good as the data that is entered, so be honest and accurate and it will reveal amazing insights over time.
Tracking and monitoring performance is an important part of being a serious, winning poker player can’t be overlooked. You need to treat your time, effort and tournament playing as an investment and what you can expect to yield from it. By tracking your ROI, you will understand how you are performing, whether you are playing the right games and if it is time to move up stakes. You will also know how much money you can realistically make in the long run.
If you have any questions about poker ROI or advice on how to implement, feel free to contact us and we will be happy to help.