ROAS and ROI - what are they and how do they differ? Metrics in advertising campaigns

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There are two extremely important metrics that every marketing person should be perfectly familiar with. We are of course talking about ROAS and ROI. Unfortunately, they are still often confused with each other or, even worse, treated as one and the same.

So what are ROAS and ROI? How do they differ? And why are they so important for your campaigns? You'll learn everything in this article.

What is ROAS?
ROAS stands for “Return On Ad Spend.” This metric can be most simply described as the return netherlands rcs data on spend for a given campaign or individual ad.

So it shows us how much we earned on a campaign or advertisement. Thanks to ROAS we control our advertising expenses and measure the effectiveness of the campaign. And based on such actions we can already make appropriate moves in the context of optimization.

Of course, higher ROAS means higher revenue, and therefore higher effectiveness of our campaign. It is worth noting that this indicator does not include net profit.