I’ve seen more companies make terrible decisions because they trusted ROAS than almost any other metric.
ROAS doesn’t tell you if you’re profitable.
ROAS doesn’t care about:
- Cost of goods sold
- Fulfillment costs
- Customer service
- Returns or refunds
- Any operational costs
It only measures revenue divided by ad spend. And revenue isn’t profit.
In this video, I break down this topic in detail so you can understand which metrics to look for, instead.
Shashank brings over 22 years of global omnichannel marketing experience. As a 4x Chief Marketing Officer, he has helped several organizations (Startups and Fortune 500) drive sustainable revenue growth through strategic marketing.