Drive ads campaigns on profitability
Guide: From ROAS to POAS
Did you know that ROAS (Return On Ad Spend) can be misleading and can even lead to losses and wrong decisions?In this guide, we take you through the shortcomings and deceptions of ROAS, but more importantly, we offer you a much better alternative, which is to drive campaigns on profitability instead of revenue. We call this Profit On Ad Spend (POAS).
Contents of this guide:
- ROAS definition & formula
- The shortcomings of ROAS
- POAS: drive campaigns on profitability
- Calculate the margin per ad
- Implement POAS in 4 steps
