Incremental ROI, or Return on Investment, is a measure of the financial performance of an investment made into a business. It’s calculated by dividing the total net gain from the investment by the initial cost of the investment. In other words, it tells you how much you can expect to get back in return for each dollar you put in. Incremental ROI focuses specifically on the returns generated by a single action or decision, as opposed to those created by a combination of activities. This allows business owners to better understand the exact impact of their decisions and helps them make more informed choices about where to invest their money.