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ROAS (Return on Ad Spend)

💡 Quick Definition: A marketing metric that measures the amount of revenue a company earns for each rupee or dollar spent on advertising.

Detailed Explanation & Workplace Application

ROAS determines the profitability and scalability of paid advertising campaigns on Meta Ads Manager and Google Ads. A 4.0x ROAS means ₹400 in gross sales was generated for every ₹100 invested in ad spend.

Practical Syntax / Framework Formula

ROAS = Total Revenue Generated from Ads / Total Ad Spend
Break-Even ROAS = 1 / Gross Profit Margin %
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