ROAS = revenue from ads / ad spendReturn on ad spend (ROAS) compares the sales an ad campaign brings in with what the campaign cost. It is the first number most media buyers check, on Meta, Google and TikTok alike.
ROAS only means something next to your margins. A ROAS of 2.5 can be very profitable for a product that costs little to make and a loss for one with thin margins, so compare it with your break-even ROAS. Then work on the levers below.
- Better creatives: a stronger hook and a clearer offer raise clicks and conversions.
- A higher order value: bundles and upsells add revenue to each sale without adding ad cost.
- A faster, clearer landing page: more visitors buy, so each euro of ads earns more.
- Cutting what doesn't work: pause ad sets that stay below break-even after a fair test.
Common mistakes: trusting each platform's reported ROAS on its own, and judging a campaign on a few days of data. Each platform counts conversions with its own attribution rules, so platform totals can add up to more than your real sales. Check total store revenue against total ad spend too, which is your MER.
To see which ads competitors keep paying for, search the Ads Library by days running, reach and estimated spend.