Return On Advertising / Ad Spend


Online business calculator which helps to calculate the return on advertising spend (ROAS)rate from revenue and ad spend value.

Calculator of Return On Advertising / Ad Spend

Formula of Return On Advertising / Ad Spend

ROAS = (Revenue value – Ad spend value) /Ad spend value

Where,

  • ROAS – Return on Ad Spend

Example of Return On Advertising / Ad Spend

Hiox spent $20,000 on paid search in November, and generated $60,000 in revenue. Find the ROAS value of the company ?

Given,

  • Revenue value = $60,000
  • Ad spend value = $20,000

Solution:

Substitute the values in the formula,

ROAS = (Revenue value – Ad spend value) /Ad spend value
= ($60000 – $20000) / $20000
= $2

 

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