Marketing & Acronyms
ROAS (Return on Ad Spend)
Quick Definition
ROAS is revenue generated per dollar of advertising spend, expressed as a multiple (4x ROAS = C$4 revenue per C$1 spent).
In context
Standard performance metric for paid advertising. Healthy benchmarks vary by margin: 4x+ for low-margin ecommerce, 2x+ acceptable for high-margin services. Don't confuse ROAS with profit (ROAS doesn't account for COGS or operating costs).
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