Is ROI wrongly used?

    • alenstrat
      alenstrat
      Bronze
      Joined: 13.03.2009 Posts: 821
      I've been thinking a lot from my experience lately. I'm thinking ROI is no holy grail of stats, actually the right stat would be ROI per hour or something like that.

      I say this because, some examples :

      You went into a table with $10, you came out after 20 minutes with $15

      You went into a table with $10, you came out after 1 hour with $15.

      Same ROI. Totally different REAL profit IMO (if you value your time and effort)

      Another example, this one which made me modify the tables and tournaments I was playing :

      You buyin into tourney with $ 10, you came out with $15 after 4 hours.
      You play a table with $10, come out with $15 after 30 minutes.
      Or even : you on 5 tables with $2, come out with $3 each after 1 hour.

      Same ROI, but very different situations

      I don't have the exact words, but see what I'm getting to? Is common ROI not that useful of a stat for measuring your effort vs. profit per time played?

      Any opinions? Is there any program that actually does this?
  • 5 replies
    • zamoda
      zamoda
      Bronze
      Joined: 16.03.2009 Posts: 509
      Thats why people use $/Hour. But it is not that easy to calculate. ROI is more discrete attribute.

      You cannot calculate ROI for the cash tables.. Thats why for cash tables people use bb/BB per 100 hands.
      In your example the number of hands is different after 20 minutes and 1 hours.


      ROI is used for tournaments because it is easy to calculate it there. ROI = Return of investment. lets say you pay 1000$ in tournament fees, and after playing them you have 1100$. That would be 10% ROI.

      ROI for tournaments / bb@100hands are the best attribute to estimate if you are a loosing or winning player in a long term.
    • alenstrat
      alenstrat
      Bronze
      Joined: 13.03.2009 Posts: 821
      Yes, but that is exactly what I mean. I guess what I'm trying to do is find some equivalence between ROI for tourneys and bb/100 for cash tables, since I play both, to try to determine where I should concentrate.
    • ihufa
      ihufa
      Gold
      Joined: 18.03.2008 Posts: 3,323
      Originally posted by zamoda
      $/Hour
    • Hahaownedlolz
      Hahaownedlolz
      Bronze
      Joined: 24.04.2009 Posts: 1,755
      Originally posted by ihufa
      Originally posted by zamoda
      $/Hour

      No troll comment? I is dissapointed.
    • pinnryder
      pinnryder
      Bronze
      Joined: 10.11.2009 Posts: 597
      Originally posted by alenstrat
      Yes, but that is exactly what I mean. I guess what I'm trying to do is find some equivalence between ROI for tourneys and bb/100 for cash tables, since I play both, to try to determine where I should concentrate.
      That depends on the limits you are playing. But I would say for a beginning that everything above 0 is a good start..