The Cost per Action Analysis is a good way of tracking your online marketing Return on Investment [ROI], and it‟s a much better way than page views, impressions, clicks, etc. The advertising medium over the web is slated to grow by about $10 billion in the coming 5-6 years, so it becomes important to appreciate the effectiveness of such huge spending. If you are unable to measure what results you are getting with ad campaigns, it doesn‟t make any sense undertaking them, and ROI is the best way to measure the results. Sadly, most of the businesses fail to get a grip of their objectives of marketing.

The basic principles have not changed, though the tools of marketing have. So if your objective is to get more sales, you need to measure the cost of each sale that you make for determining your ROI. It‟s good for the advertisers that tracking the ROI for online advertisements is easier than tracking it for mediums like radio, television, newspaper, etc. In online marketing, the ad campaigns can be tracked down to each denomination of money spent on it. This is the main reason why the money spent on online advertisements is only going up with every passing day.