ROI & ROAS

To calculate ROI, take the revenue that resulted from your ads, subtract your overall costs, then divide by your overall costs:

ROI = (Revenue – Cost of goods sold) / Cost of goods sold.

Let’s say you have a product that costs $100 to produce, and sells for $200. You sell 6 of these products as a result of advertising them on AdWords. Your total sales are $1200, and your AdWords costs are $200. Your ROI is ($1200-($600+$200))/($600+$200), or 50%.


(ROAS) return-on-ad-spend 目标广告支出回报率

ROAS = Revenue Earned From Advertising / Advertising Expense

For example,

If you spent $1,000 on Shopping Campaigns in one month, and during the same month these campaigns generated a revenue of $5,000 from people who clicked on those ads, then your return would be:

$5000/$1000 = 5:1 or 500%

A return on advertising spend of 5:1 indicates that for every dollar spent on Shopping Campaigns, you get $5 in revenue.

ROAS vs. ROI

销售额 ÷ 广告支出 x 100% = 目标广告支出回报率

(产品销售总额-(产品成本+广告费用))/ (产品成本+广告费用)=投资回报率