By Miguel Angel Blanco Cedrun
CEO and Dean of Spain Business School
CWhen we carry out a digital marketing campaign, we have different metrics and KPIs that help us know if we are achieving the objectives we had set. Being able to analyze the data we obtain is one of the great advantages of online campaigns and we should take advantage of it to extract all the information that helps us improve.
Among the large number of metrics that we have at our disposal, ROAS or Return on Advertising Investment is a variable offered by Google that aims to measure the effectiveness of digital marketing campaigns according to the objectives that have been set. Specifically, ROAS is the percentage of income obtained in relation to the investment made and armenia number data answers a fundamental question in marketing: if I invest X amount of money in this channel, how much will I recover for each euro spent?
How to calculate ROAS
Difference with ROI
Why calculate ROAS
What is ROAS and how to calculate it
The formula for calculating Return on Advertising Investment is dividing revenue by investment and multiplying the result by 100.
ROAS = sales revenue / advertising investment
Let's use an example with a Google Ads campaign. Let's imagine that in a campaign for the sale of shoes we have obtained a total sales revenue of 8,000 euros per month and the Google Ads account costs us about 2,500 euros per month.