ROAS (Return on Ad Spend)
Return on Ad Spend (ROAS) indicates the revenue generated from a specific mobile ad campaign and it measures the effectiveness of it. It is crucial for mobile advertisers to determine and track the most efficient sources that bring the most quality app users.
If ROAS of an ad campaign is negative, it means the ad campaign requires more cost than the revenue generated from acquired users. In this case, the ad campaign should be optimized or stopped. To decide on if a mobile ad campaign should continue running, it should be ROAS positive. To make a mobile ad campaign ROAS positive, all campaign elements including creatives, ad types selected, app store pages, CTAs, and target audiences should be optimized.
Within ROAS calculation, all the revenue coming from in-app purchases and in-app advertising is taken into consideration.
ROAS= Total Revenue Generated from an Ad Campaign / Total Cost of the Mobile Ad Campaign
Get Featured On Mobile Marketing Reads!
We help companies in the mobile marketing ecosystem to reach a qualified, engaged audience for branding, thought leadership,and lead-generation.
LATEST MOBILE MARKETING NEWS
-
in Deals and IPOs, NewsAmazon, Nvidia and SoftBank back OpenAI in one of the largest private raises ever
OpenAI has closed a $110 billion funding round backed by Amazon, Nvidia and SoftBank Group, marking one of the largest private capital raises on record. The financing assigns OpenAI a $730 billion pre-money valuation. Amazon is contributing $50 billion, while Nvidia and SoftBank are each investing $30 billion. According to the companies, additional financial investors […] More
-
Android 17 beta 2 introduces privacy controls, cross-device handoff and new system APIs
Android 17 has moved into its second beta phase, adding a slate of privacy-focused controls, system-level APIs and cross-device capabilities ahead of its planned platform stability milestone in March. The update continues Google’s adjusted release cadence, with a major SDK release targeted for the second quarter and a smaller SDK update later in the year. […] More
-
in Deals and IPOs, NewsNetflix walks away as Paramount Skydance secures $111B deal for Warner Bros. Discovery
A high-stakes bidding contest for Warner Bros. Discovery has concluded with Paramount Skydance emerging as the winning bidder after Netflix declined to raise its offer. Warner Bros. Discovery said Paramount Skydance’s revised proposal of $31 per share constituted a “superior proposal” under the terms of its existing merger agreement with Netflix, triggering a four-business-day window […] More