A concise edition adapted from the BIZCAT journal.
Read advertising efficiency
ROAS compares revenue attributed to advertising with ad spend. A 4× return means four rupees in attributed revenue for each rupee spent on ads. It helps compare campaign performance, but revenue alone does not establish profitability.
Look at the whole investment
ROI asks what remains after the relevant costs are accounted for. Product costs, fulfilment, discounts and marketing delivery can change the business outcome even when campaign revenue looks strong.
Use both in decisions
Review ROAS when comparing campaigns and use ROI to understand their broader financial contribution. Keep attribution, time periods and cost definitions consistent. Better targeting, creative tests and a clearer buying journey can improve the quality of the return.