If you are a marketer who is spending on advertisements, you need to have a clear understanding about the concept called ROAS. Otherwise, you will just be wasting your money on advertising and you will not be able to get maximum possible results at the end of the day.
What exactly is ROAS?
As the first thing, let’s take a look at ROAS meaning. The abbreviation ROAS refers to Return on Advertisements Spent. You have to spend your money to get the advertisements rolling out. While spending money like that, you need to understand the returns that you are getting as well. If you are getting positive returns, you are doing it right. Or else, you need to take a look at the advertising strategy and make appropriate changes to it.
In order to get a better understanding about ROAS, let’s take a look at an example. Assume that you are spending $5,000 for a social media advertising campaign. Then you generate revenues that you were able to secure with that specific advertising campaign and end up with a value of $20,000. This refers to the fact that you are earning $4 out of every $1 you spend. It is a healthy ratio to move forward with. If you are not earning at least $1 for every $1 you spend, you need to take a look at the ad strategy, without losing further money.
How to get maximum out of money you spend on advertisements?
Now you have a clear understanding about the definition of ROAS in digital marketing. Along with that, you need to take a look at the following tips, which will assist you with getting the maximum possible return at the end of the day.
- Remain consistent across different digital marketing channels
When you use ROAS in internet marketing, you tend to take a look at different channels. It is important for you to remain consistent over all those channels. While you do that, you should also make sure that you are customizing the message according to customers who use specific digital marketing platforms. Then you will be able to get the best possible outcome from the ads.
- Keep an eye on the user journey
While spending your money on advertisements, you need to take a look at the user journey, which is created when a person clicks on an advertisement of you. You need to make sure that you get into the shoes of an ideal customer of your business and go through this process. In most of the instances, businesses realize that they are not creating the best user journey for the customers. As a result, they tend to lose customers in the middle of the journey. In such a situation, they are losing the customers that they generate out of ads. That’s why it is important to take a look at the user journey.
You need to take a look at the message communicated to customers through your marketing campaigns. Then you need to take a look at the time taken for the landing page to load. Mobile responsiveness of the landing page should also be considered. Likewise, you need to keep an eye on every single step and make sure that you are delivering a perfect user journey.
- Publish advertisements at the right time
Timing matters a lot in advertisements. You need to make sure that you are getting timing right. For example, you need to keep an eye on sports, holidays, concerts and conferences. They all are in a position to create an impact on the business. Therefore, you need to make sure that you are getting timing right at all times.
As a marketer, you need to keep an eye on the trends at all times. Then you can use your background knowledge to understand how to align your marketing campaigns along with those trends. This will make you end up with receiving positive results at the end of the day.
- Pick the best channels
You should also be mindful to select the best channels to run your digital marketing campaigns. Some of the digital marketing channels are not in a position to deliver positive results to you. If your potential customers are not in a specific channel, you will not be able to get any returns from money that you spend to advertise on that channel. That’s why you need to do your background research and locate the best channel. Then you can get positive returns out of money that you are spending on the advertising campaigns.