ROI Is Over Rated

MagnoliasFM · #1 03-03-2005, 05:01 AM

I don't understand why people put such a high emphasis on ROI. Let me tell you this much: If your ROI is as high as it possibly can be, YOU ARE NOT MAXIMIZING YOUR PROFIT. The only thing you should be concerned about maximizing is your hourly rate, and not your ROI.

You could theoretically one-table and play an extremely cautious style and achieve your theoretical max. ROI. Then you could post it on here and get oohs and aahhhs and everyone will think you're a great player.

Or, you could 8-table and take more risks and get about half the ROI but make tons more money.

As an extreme example, I would rather have 25% ROI and an hourly rate of $100/hour than 70% ROI and an hourly rate of $99.99/hour.

The reason why I am posting this is because most people tend to neglect the "time" factor in SNGs. They simply look at their results and judge based on ROI and ITM. If you take time into account, you start to make more profitable decisions that might have a negative effect on your ROI. The real measure of a player's success is not his ROI and ITM, but his hourly rate. Don't fall in love with your ROI, and don't be afraid to lower it in order to make more money.

Sorry if I wasted your time reading this if it is obvious to you.

curtains · #2 03-03-2005, 05:07 AM

I think you are wrong. I'd rather have a 50% ROI at the $11 sit and gos, as opposed to a 15% ROI at the $215's.

lorinda · #3 03-03-2005, 05:08 AM

You are forgetting to factor in that a high ROI leads to a low ROR enabling you to safely play for bigger stakes.

The equation is not a simple one.

Lori

Pepsquad · #4 03-03-2005, 05:09 AM

[ QUOTE ]
I don't understand why people put such a high emphasis on ROI. Let me tell you this much: If your ROI is as high as it possibly can be, YOU ARE NOT MAXIMIZING YOUR PROFIT. The only thing you should be concerned about maximizing is your hourly rate, and not your ROI.

You could theoretically one-table and play an extremely cautious style and achieve your theoretical max. ROI. Then you could post it on here and get oohs and aahhhs and everyone will think you're a great player.

Or, you could 8-table and take more risks and get about half the ROI but make tons more money.

As an extreme example, I would rather have 25% ROI and an hourly rate of $100/hour than 70% ROI and an hourly rate of $99.99/hour.

The reason why I am posting this is because most people tend to neglect the "time" factor in SNGs. They simply look at their results and judge based on ROI and ITM. If you take time into account, you start to make more profitable decisions that might have a negative effect on your ROI. The real measure of a player's success is not his ROI and ITM, but his hourly rate. Don't fall in love with your ROI, and don't be afraid to lower it in order to make more money.

Sorry if I wasted your time reading this if it is obvious to you.

[/ QUOTE ]

This is very good advice for all players with at least 1,000 SNG's experience at their current level. For those new to SNG's/still picking up the nuances of a certain level - do yourself a favor and disregard. %ROI is what matters.

Was probably being overzealous with the "1,000" mark - but definitely at least 500.

Seadood228 · #5 03-03-2005, 05:11 AM

Also, if you are multi tabling, there is very little you can do about the length of a SNG. So theoretically, maximizing your ROI is a crucial part of maximizing your earn.

I'd assume that multitabling is a given for most of the players here.

Seadood228/Gambooln

curtains · #6 03-03-2005, 05:13 AM

btw I was joking earlier, but I think ROI is very important for almost everyone, as it tells you whether or not you are winning player.

Anyone who is winning a lot at poker is probably smart enough to understand that it's better to play 4 games at once with a 10% ROI than it is to play 1 game at a time with a 15% ROI.

Seadood228 · #7 03-03-2005, 05:17 AM

exactly.. I kind of figured multi-tabling was a given in these ROI calcs.

ROI is NOT overrated. Obsessing about it is [img]/images/graemlins/smile.gif[/img]

kyro · #8 03-03-2005, 05:54 AM

[ QUOTE ]

btw I was joking earlier,

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my sarcasm meter needs new batteries. i was about to call you dumb. but you're not. i am.

SuitedSixes · #9 03-03-2005, 06:53 AM

[ QUOTE ]
As an extreme example, I would rather have 25% ROI and an hourly rate of $100/hour than 70% ROI and an hourly rate of $99.99/hour.

[/ QUOTE ]

Hmmmm, no you wouldn't. I would take the 70% ROI and give up $.01 per hour. Do you see why?

johnnybeef · #10 03-03-2005, 07:39 AM

[ QUOTE ]
[ QUOTE ]
As an extreme example, I would rather have 25% ROI and an hourly rate of $100/hour than 70% ROI and an hourly rate of $99.99/hour.

[/ QUOTE ]

Hmmmm, no you wouldn't. I would take the 70% ROI and give up $.01 per hour. Do you see why?

[/ QUOTE ]

less varience beeatch!