What is ROAS (Return on Ad Spend)?
ROAS (Return on Ad Spend) is a marketing metric that measures the revenue generated for every dollar spent on advertising. It helps advertisers evaluate the effectiveness of their ad campaigns.
A ROAS of 5 means $5 earned for every $1 spent. Higher ROAS indicates better campaign performance. It’s calculated by dividing total revenue by total ad spend. Ad networks use this metric to optimize campaign strategies and allocate budgets more efficiently for maximum return.
