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ROAS

The Importance of Return on Ad Spend

Optimizations / November 10, 2020

The Importance of Return on Ad Spend

Return on Ad Spend (ROAS)

Return on ad spend (ROAS), is one of the most important metrics a seller watches since it’s a key way to understand if your advertising is giving you a return on your investment.  For Amazon sellers utilizing a PPC automation software tool, like Sellozo, it is important as it helps you gauge if the tool is helping you optimize your campaigns to enhance sales and therefore increasing your return on your advertising. 

Luckily for Sellozo users, our Amazon advertising platform includes ROAS in multiple places.  You can view your ROAS inside the PPC Manager to understand how individual campaigns are driving ROAS.  You can also look at your Pay-Per-Click advertising spending overall.  In addition to the PPC Manager, users can also see ROAS inside of the ProductVu portion of our advertising tool.  Here you can see ROAS at the SKU or ASIN level which gives Amazon sellers an incredible level of detail as to how specific advertising PPC campaigns are performing at the ASINs level and how Sellozo is growing the ROAS for that ASIN.  

Large Amazon sellers and Amazon agencies will find these two ways of calculating ROAS incredibly powerful since so much of their business relies on being able to generate sales and profit from a large volume of products being sold.  

For smaller sellers, it’s incredibly important since the typical amount of investment in advertising and the typical volume of ASINs is smaller.  The great thing is that Sellozo offers this amount of detail at all levels inside the PPC Manager and the ProductVu.  So whether you have 10 ASINs or 10,000 you’ll be able to access this data and make decisions on your Amazon advertising investment at a campaign or a product level.

To see more about calculating ROAS, check out our FAQ page here: https://sellozo.com/frequently-asked-questions/

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