ROAS (return on ad spend)

Explained

ROAS uses revenue, not profit, so a “good” ROAS depends on your margins. A business with 25% margins needs a ROAS of 4 just to break even on the ad cost.

ROAS is only as good as the conversion values behind it. Platform-reported ROAS often double-counts sales that several platforms claim; analytics or CRM revenue gives a more conservative view.

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• YAYour AgencyAcme Plumbing · MarchSpend$3,419Conv.105Pacing97%AgenciesWhite-label reporting for agenciesWhat a good white-label client report contains, how to choose an agency reporting tool, and how to automate branded PPC reports…

• Pacing this month

  • Acme124%
  • Cedar97%
  • Birch81%

  115%

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Related terms

• CPA (cost per acquisition)
• Conversion tracking
• Smart Bidding