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Definition

ROAS (Return on Ad Spend)

ROAS measures the revenue generated for every dollar spent on advertising, calculated as revenue divided by ad spend.

A ROAS of 4x means every $1 spent on ads generated $4 in revenue. ROAS is useful for comparing campaign efficiency, but it doesn’t account for profit margin — a 4x ROAS on a low-margin product can be less profitable than a 2x ROAS on a high-margin one. Because of this, ZAVYANS reports ROAS alongside margin-aware metrics rather than treating it as the only number that matters.

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