Metrics
ROAS
Return on ad spend — revenue divided by ad spend.
ROAS (return on ad spend) is the most-used efficiency ratio in performance marketing: total revenue produced divided by ad spend. A 2× ROAS means you got $2 back for every $1 spent. ROAS does not account for COGS, fulfillment, or refunds — to know whether you are actually profitable you need margin too. Operators usually quote a 'breakeven ROAS' (1 / margin) and run above it.
Formula
ROAS = revenue / ad spend
Example
$50,000 spent on Taboola produced $90,000 in tracked revenue. ROAS = 1.8×. With a 60% gross margin, breakeven ROAS is 1.67×, so the campaign is barely profitable.