What is ROAS?

02 April 2018


For business professionals and marketers alike it can be difficult to keep track of all the different acronyms and abbreviations floating around in the ether. To help clear up some confusion, today we’re going to be focusing on ROAS. We’ll define the term, and more importantly, explain why every business owner should care about it. Plus, we’ll show you how call tracking relates to ROAS.

What is ROAS?

ROAS, or return on ad-spend, is a metric that allows companies to judge the effectiveness of their ad campaigns. Like its “cousin” ROI, it’s a reactive metric –– something you calculate after-the-fact. (Or at least, that’s the way it’s typically thought of. We’ll expand on this later.) With that in mind, you can begin to understand why so many businesses neglect this statistic. “What’s the point of calculating your return on ad-spend, after you’ve collected it?” Though this is a flawed position, we’ll nevertheless explain why ROAS matters, and provide a few hints on how to get started using it more productively –– and proactively.

ROAS: A Closer Look

It’s never been easier for businesses to advertise themselves. The formation and development of platforms like Google Ads and Facebook advertising allows small companies the opportunity to reach customers they never could’ve contacted in years past. However, while some companies enjoy the benefits of spending big parts of their marketing budget on ads, many businesses don’t advertise themselves effectively. As a result, they end up paying for ads that don’t generate sales. Furthermore, plenty of companies employ more than one type of ad, and some even deploy multiple campaigns at the same time. With all of this investment tied up in ads, it’s only natural to assume that every business would take the trouble to analyze their efforts. Unfortunately, some don’t at all, and others attempt to do so, but without the proper tools.

ROAS and Call Tracking

If you’ve ever tried to calculate your business’s ROAS without using call tracking, then you know how difficult that task can be. The good news is, call tracking takes the guesswork out of ROAS. So instead of wondering which ads have proved potent and which ones have fallen flat, you can know for sure thanks to call attribution. Furthermore, advanced call tracking metrics will provide your company with a way to actively optimize your ads in the future. Remember how we mentioned that ROAS is a reactive metric? Well, with call tracking, it doesn’t have to be.


 Whether you’ve never bothered with ROAS before, or you struggle to measure it accurately, or you just want to get more bang for your advertising buck, call tracking can help you. Contact the Advocado team today and discover all the advantages your business will gain with call tracking. And to see the transformative power of call tracking first-hand, download our free eBook here:



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