Return on ad spend, or ROAS, is revenue attributed to advertising divided by advertising expenditure. Amazon describes it as the inverse of ACoS when the same spend and ad revenue are used.[1] It expresses revenue per advertising euro, not profit per euro.
In a hypothetical example, €1,000 of attributed revenue from €200 of ad spend gives a ROAS of 5. Profitability still depends on product costs, selling costs, returns and other included expenditure. Compare campaigns using consistent revenue and attribution rules. A high reported ROAS may include customers already intending to buy; the ratio does not measure causal additional impact.
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Compiled with AI assistance using public sources. General explanation, not individual legal or tax advice. Describing a concept does not mean Zoloo offers it as a feature.