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When it comes to digital advertising campaigns, seeing ad clicks is the easy part. With a pixel in place (code you can add to your website to connect those clicks to sales), you can calculate your return on advertising spend (ROAS) easily.
But as any marketer knows, analyzing the “why” of that ROAS is tougher. Why did this ad meet your target ROAS when that one didn’t? Why are you getting different results across different campaign types and advertising channels?
VidMob helps you understand what’s working in your ads — and why.
It tells you which advertising messages are performing where. And it shows you which aspects of your creative perform best, so you can target new iterations in the right direction. With every improvement, you can lower your advertising expenses and unit cost, hit your advertising goals, and take your advertising efforts to new heights.
People often ask what the right target ROAS is for Facebook ads, Google ads, and more. No matter what your industry benchmark is, the real answer is simple: your goal is to get your average costs below your break-even point in a way that can scale.
Your break-even number is the cost-per-click (CPC) at which you’re selling just enough units to cover your advertising costs. At that point, your ROAS is 100%. You’re making back your advertising dollars in sales. Keeping your ROAS above 100% means your ad campaigns are generating more revenue than they cost.
That break-even CPC number will be specific to your business and will vary from product to product. It depends on your business model, your product sale price and costs, the average conversion rate from your landing pages, and so on.
Every advertiser’s goal is to push ROAS well above 100% in a way that scales. But click-through rates on Facebook ads, Google ads, and the like tend to drop over time, often within a few days or weeks. You have to keep changing out your ads, and scaling up your advertising spend doesn’t always result in the same ROAS.
By using VidMob to see what’s working, you can boost your creative instincts with actual numbers. Maybe a certain type of background always works, or maybe a certain creative element is always a favorite. VidMob guides your creative team in future advertising efforts, so you can generate brand new ads that convert every time.