About This Calculator
This tool helps you evaluate the effectiveness of your advertising campaigns by calculating the Return on Ad Spend (ROAS). It shows how much revenue you generate for every dollar spent on advertising.
How It Works
Enter your total Ad Spend and Ad Revenue. The calculator calculates ROAS by dividing Ad Revenue by Ad Spend. A higher ROAS signifies a more effective campaign.
Frequently Asked Questions
What is a good ROAS?
A good ROAS varies by industry, but generally, a ratio of 4:1 or higher is considered successful.
Can ROAS be negative?
ROAS can't be negative, as both Ad Spend and Ad Revenue are positive. However, if Ad Revenue is lower than Ad Spend, ROAS will be below 1, indicating a loss.
How is ROAS different from ROI?
ROAS focuses on revenue per advertising dollar, while ROI measures net profit after accounting for all costs and expenses.