Average ROAS by Industry: The Most Difficult Metric to Measure

ROAS—Return on Ad Spend—is one of the most talked-about metrics in digital marketing, but also one of the most misunderstood. While it sounds simple (revenue generated ÷ ad spend), accurately measuring ROAS across industries is far from straightforward.

At Tech Diqode, we go beyond surface-level reporting. We help brands understand what ROAS really means in their unique context—and how to use it as a tool for smarter growth.

Why ROAS isn't the same across industries

Every industry has its own sales cycle, pricing model, and customer behavior. For example:

  • E-commerce brands may target high ROAS (4:1 or more), relying on volume and repeat purchases.

  • Real estate or B2B services may show lower ROAS in the short term, but generate high-value leads with longer conversion paths.

  • Software & SaaS companies might prioritize lead generation and retention over direct purchase revenue, complicating attribution.

This variation makes industry-wide ROAS comparisons unreliable. A “good” ROAS for one brand might be unsustainable or underperforming for another.

How to improve your ROAS

Instead of chasing a “perfect” ROAS, focus on these core levers:

  • Optimize landing pages for conversion

  • Target high-intent audiences

  • Use retargeting and lookalike strategies

  • Improve creative quality and relevance

  • Reduce wasted ad spend through testing and refinement

At Tech Diqode, we provide performance audits and ROI-focused ad strategies that are tailored to your business goals.

Improving ROAS isn’t about doing more—it’s about doing things smarter. Even small adjustments, like tightening your ad copy, refining your targeting, or simplifying your user journey, can lead to significant gains. It’s also important to align your campaign objectives with where your audience is in the funnel. For example, awareness-stage campaigns shouldn’t be judged solely on direct revenue. At Tech Diqode, we help brands see the full picture—connecting strategy, design, and data to unlock better results from every campaign.

Align ROAS Goals with Business Objectives

Many brands fall into the trap of aiming for the highest ROAS possible without considering the bigger picture. But a campaign that brings in fewer conversions at a higher value may be more aligned with your business goals than one with lower-value sales and a seemingly “better” ROAS. It’s essential to connect your advertising metrics to what actually drives business growth—whether that’s customer lifetime value, retention, or market expansion. At Tech Diqode, we work with you to align ROAS goals with meaningful KPIs, ensuring your ad spend fuels long-term success, not just short-term wins.

“ROAS isn’t just about the ad—it’s about the entire experience, from impression to action. Attribution is what gives ROAS context.” — Team Tech Diqode

Final thoughts: Measure what really matters

 

A high ROAS doesn’t always mean high profits. And a low ROAS doesn’t always mean failure. The key is to understand what success looks like for your business—and track your campaigns accordingly.

📈 Let’s help you spend smarter, not just more.

👉 Book a strategy call with Tech Diqode

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