Return on Ad Expenditure(ROAS)-It means ratio of revenue genreated from ads through expenditure on ads.For digital marketing services industry standard is 1:3 or1:4.
Return on Ad expenditurehelps marketers determine which campaigns are performing well,allowing them for optimizng budget for high performing channels.
Return On ad expenditure differs from Return on Investment(ROI) as it measures revenue impact from expenditure on acampaign rather than net profit .
Formula of ROAS- Ad revenue/Ad expenditure
