Why is ROAS dead?

ROAS (Return on Advertising Spend) is not necessarily dead, but it is becoming less useful as a standalone metric for measuring advertising effectiveness, particularly in the context of digital advertising. 

ROAS measures how much revenue a business generates for every dollar spent on advertising. However, this metric doesn’t take into account other factors that may impact revenue, such as changes in customer behavior, market trends, or competitive factors. It also doesn’t provide any insight into the customer journey beyond the initial ad click, such as how many clicks or touchpoints it took for the customer to convert.

Internal costs, warehouse cost increases, postage to different geographical locations around the country you operate in twined with volumextic, merchant fee’s, cardboard box cost and a host of others. 

As digital advertising becomes more complex, with multiple channels and devices involved in the customer journey, businesses are realizing that they need more sophisticated metrics to measure the impact of their advertising efforts. 

In summary, while ROAS is still a valuable metric to track, it should be used in conjunction with other metrics to gain a more comprehensive understanding of advertising effectiveness.

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