Every business has different profitability metrics, so there is no one true north star for what is considered a “good” ROAS. However, following a traditional business platitude, “you don’t have a business unless you’re returning at least 3x on your expenses”.
Translate this to ROAS, and this means that in order to consider yourself a well oiled business, you should be returning 300% on your expenses (or ad spend) or operating at a ratio of 3:1.
If you’re trying to calculate ROAS for your business or a specific campaign, you can use our free Return on Ad Spend Calculator.
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