Return on ad spend, is a digital advertising metric used to measure the effectiveness of a campaign by looking at how much customers spend.
Rather than only looking at how many conversions an advertising campaign has generated, ROAS also gives you information on how much revenue those customers have generated.
To get ROAS, you divide advertising spend by the revenue created from the customers that came in from that ad or campaign.
For example, a company spends $2,000 on an advertising campaign in a month and the campaign delivers revenue of $10,000. Therefore, the ROAS is a ratio of 5 to 1 (or 500%) as $10,000 divided by $2,000 = $5.
___________________ ROAS = 500%
In other words, for every dollar spent on advertising, the campaign generates $5 worth of revenue.
In Match2One's platform you can set a ROAS goal that our AI will automatically optimise toward. Choose "ROAS goal" when setting up a new campaign after installing our conversion pixel (with order value) on your website to start a ROAS optimised campaign.
If you need further assistance in setting your ROAS goal, feel free to contact us: