By Jon MacDonald
5 minute read | Last Updated: October 25, 2017
ROAS or return on ad spend is an essential metric to monitor and to manage if you want to lower costs and drive higher ecommerce sales.
Even if you HATE math, there’s a handful of metrics every business must track in order to stay competitive: return on investment (ROI), cost per click (CPC), return on ad spend (ROAS), and average order value (AOV), for instance, are examples of critical data points.
Not to know whether you’re making a profit, how much your paid traffic is costing, and how much the average shopper is spending at your ecommerce store per purchase is digital hari-kari.
Don’t do it.
We’ve found that most digital marketing managers understand how to derive and track the most popular measurements, but many can’t define ROAS or explain the difference between ROAS and ROI.