Glossary

ROAS (Return on Ad Spend)

Return on Ad Spend (ROAS) measures the revenue generated for every unit of currency spent on advertising. A ROAS of 300% means you earn 3 units of revenue for every 1 unit spent on ads.

In the Context of Japan-Korea Marketing

ROAS should be interpreted with gross margin, returns, repeat purchase behavior, attribution, and currency effects. Channel budgets should change only after the measurement window and decision criteria are agreed.

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Related Terms

CPA (Cost Per Acquisition)

Cost Per Acquisition (CPA) is the average cost incurred to acquire one customer or conversion through a marketing campaign. It is calculated by dividing total campaign spend by the number of conversions.

CVR (Conversion Rate)

Conversion Rate (CVR) is the percentage of users who complete a desired action (such as a purchase, sign-up, or form submission) out of total visitors or ad impressions.

Attribution

Attribution is the process of identifying which marketing touchpoints (ads, emails, organic search, etc.) contributed to a customer's decision to convert.

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