03/26/2021
🚀 ROAS = AOV / CPA
💡In order to get an ROAS > 0 you need your AOV > CPA.
With that been said, the main variable that controls whether your ROAS is positive or negative is your Average Order Value.
The more orders you fulfill and sale the higher the Return on Ad Spend (The way to do that is to cross-sell and sell your products or services as bundles) this increases your AOV and life time value.
🔓However, your cost per Acquisition is something you have no control over. The algorithm decides on those values for the CPA.
💯 But what you can control instead is your CREATIVE + COPY + OFFER. The more engaging and appealing they are the more the Algorithm favors your ads and offer over the rest of competition and this MAKES YOUR CPA LOWER. And vice-versa, if your ads sucks and have a higher bouncing rate, the algorithm penalize you and increase your CPA amount.
📲 NEED HELP? Dm me 😀
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