Return on Ad Spend (ROAS) is a marketing metric that measures the revenue generated from advertising campaigns relative to the amount spent on those campaigns. ROAS is typically calculated as a ratio of revenue to advertising spend, expressed as a percentage or a multiple.
For example, if an ad campaign generated $10,000 in revenue and cost $2,000 to run, the ROAS would be calculated as follows:
ROAS = ($10,000 revenue / $2,000 ad spend) = 5
In this example, the ROAS is 5, indicating that the campaign generated $5 in revenue for every $1 spent on advertising.
ROAS is an important metric for marketers as it provides insights into the effectiveness and efficiency of their advertising campaigns. A higher ROAS generally indicates that a campaign is generating more revenue for every dollar spent, while a lower ROAS may suggest that a campaign needs to be revised or optimized to improve its performance.
CPM stands for "Cost per Mille" (also known as "Cost per Thousand"), which is a metric used in advertising to measure the cost of reaching one thousand impressions or views of an advertisement.
An Application Programming Interface (API) is a set of protocols, routines, and tools for building software applications.
ASIN is an acronym that stands for “Amazon Standard Identification Number.” When you visit a product page on Amazon’s website, the URL contains this 10-character number.
