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Glossary

Return on Ad Spend (ROAS)

Revenue generated for each dollar of advertising spend.

ROAS is revenue from ads divided by ad spend, shown as a multiple such as 4x. It's the headline measure of a campaign's efficiency.

ROAS is a revenue ratio, not profit — once product costs and margins are counted, the break-even ROAS is higher than 1x.

Put it into practiceTry the ROAS Calculator (Return on Ad Spend)Run your own numbers in seconds — free and private.

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