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ROI vs. ROAS: What is the difference?

Asked 3 years ago

What id ROI, what is ROAS, and how do you compute the two?

Return on investment (roi)Return on ad spend (roas)

Gareth Browne

Thursday, November 04, 2021

 ROI stands for Return Of Investment which is total profit after spending in all categories. ROAS stands for Return on Ad Spend, which is a total amount of money you got in profit after investing on ads and ads alone. ROI is calculated by subtracting the initial value of the investment from the final value of the investment. ROAS  is calculated by Revenue divided by cost.

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