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What is ROAS?

There are many ways to determine your marketing campaigns’ success. Revenue and conversions are two. But what about really digging into the numbers? What can you learn from them to help you optimize performance and get more out of your campaigns?

That’s where return on ad spend (ROAS) can be a marketer’s best friend. In a world where data is increasingly important, yet it’s often more challenging to find the signal in the noise, a key performance indicator like ROAS can help measure the effectiveness of your campaigns. 

Curious about how you can do more with ROAS? Let’s dig into this marketing metric.

Why ROAS matters

Return on ad spend is a marketing metric measuring how much revenue your business earns for each dollar spent on advertising. It may sound similar to return on investment (ROI), and it is, but in this case, the ‘investment’ you’re tracking is your digital advertising spend. This measures your effectiveness and returns on a specific part of your business — digital advertising.

Essentially, ROAS helps marketers determine the effectiveness of advertising efforts. And can help you optimize for more revenue. The higher your ROAS, the better. It shows your marketing is connecting with your potential customers. For example, if you make $7 for every $1 you spend, your ROAS is 7:1. Traditionally, a good ROAS is considered around 4:1, and an average one is around 2:1, so you can use those numbers as a benchmark.

One benefit of return on ad spend is you can measure it throughout your marketing efforts. It’s just as easy to view it through your entire digital ad spend or break it down far more granularly into specific campaigns. 

How to calculate return on ad spend

Yup, it’s equation time. The formula for ROAS is pretty simple. 

Here’s how it works:

ROAS = Ad revenue / Ad spend

Take your total advertising revenue and divide it by your total advertising spend, which gives you ROAS.

For example, if you get $50,000 in revenue from a campaign and spend $10,000 on digital advertising for that campaign, your ROAS is 5:1, which is very good. 

Although the equation is straightforward, many marketers still have trouble finding the total numbers. While getting your revenue from a campaign is relatively easy, it’s more difficult to determine your exact ad spend. That’s because many different factors go into it besides just dollars spent. You may also want to consider labor costs for the people creating and running the campaigns, vendor costs, and commissions.

How does ROAS apply to email marketing

You can apply ROAS to your email marketing strategy by tracking the revenue generated directly from your campaigns. There are a few ways to do it, such as:

ROAS isn’t just for digital advertising spend. So, don’t limit your data to just that. When viewed through the lens of email marketing, ROAS has a bunch of benefits that can be helpful in determining the effectiveness of your email marketing.

With the importance of email personalization to generating revenue, you don’t want to ignore this data — and ways to improve it.

What are some of the benefits of return on ad spend?

Calculating and understanding ROAS offers several benefits that can help your brand. For email marketing specifically, here are a few of them:

Get more from your ROAS

If you’d like to see how email personalization can help drive clicks and conversions — improving your ROAS and generating more revenue — we’d love to chat. 

Click here to request a demo.

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Liz Froment

Liz Froment is a content writer at Zembula. A graduate of University of Massachusetts at Amherst, Liz is a travel aficionado, Boston sports fan, and maple syrup connoisseur.

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How Content Plays a Role in Improving ROAS

Messaging matters. Every marketer knows that instinctively. And when it gets down to brass tacks, your content and messaging can make or break your email and SMS marketing campaigns. 

So, how can you tell if your messaging is falling short?

Look at your return on ad spend (ROAS). ROAS is a key performance indicator (KPI) that helps marketers evaluate the efficiency and profitability of a marketing campaign. You can apply it to your overall marketing spend or get granular and go on a campaign-by-campaign basis. 

But let’s look at how you can tap into ROAS to determine your content’s effectiveness — and how to improve it.

Why ROAS matters for messaging

Return on ad spend determines how much revenue is generated to the amount spent on advertising. It helps you see the financial performance of your marketing efforts. 

By analyzing the ROAS of different email campaigns, marketers can determine which content resonates best with readers, driving action and boosting engagement. When you know which messages, images, and CTAs get more clicks and conversions, it’s much easier to maximize revenue optimization and get the most out of your campaigns

Here are a few areas where ROAS can help you make better decisions around your marketing strategy:

How content can enhance return on ad spend

How you communicate with your subscribers plays a huge role in the success or failure of your brand. And today’s customers? Well, they are savvier than ever. They know what they want, and understanding what moves the needle with them can dramatically improve your conversions and revenue. 

You can’t leave it up to chance or hope something resonates. Instead, there are some key areas you can target that can help you improve your ROAS and keep customers happy.

Go all in on personalization

Embracing personalization is one of the most important things you can do to connect with your readers and improve your revenue. Smart Banners™ and Smart Blocks™ make it easy to automate personalization at scale. And we’re not talking generic stuff. This is performative personalization, which uses data-driven messaging proven to drive engagement.

Don’t take our word for it — our amazing clients have seen a 10-17% lift in revenue using our approach. And when you focus on providing more personalization, you’ll see more clicks, conversions, and revenue, all while improving the customer experience.

Keep messages relevant and timely

Sending timely and relevant content ensures readers always get value from your messages. Here’s where personalization helps you stand out, too. You can take any message you send, add a personalized Smart Banner™, and ensure it’s relevant to the reader.

You also want to make sure your highest-converting messages get more visibility. That’s why our approach helps you focus on adding personalized, triggered content to your promotional emails. Why keep some of your most valuable, most clicked messaging as a fraction of your total send volume when you can ensure it’s always seen?

Don’t forget about personalized animation

Want to really enhance the engagement of your emails and SMS campaigns? Start including personalized animation in your messages. It helps not only make your messages more eye-catching, but they often convey what you want to say far better than text alone.

Use animation in SMS to tell a story or take your customers on a journey without overloading them with text. In email, it’s an amazing way to enhance content, like showing multiple abandoned cart items or rotating product images. 

Zembula can help you get more from your messaging

Whether it’s email or SMS, we know how to make it easy to send valuable, personalized, and relevant content to every one of your readers. Doing so is the first step in building genuine trust with the people on your list. 

Over time, that can lead to more loyalty and repeat purchases and improve the lifetime value of your customers. Each of these can do wonders for getting the most out of every email you send. 

Want to learn more about how Zembula can help? We’d love to chat. Contact us today to request a demo.

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Liz Froment

Liz Froment is a content writer at Zembula. A graduate of University of Massachusetts at Amherst, Liz is a travel aficionado, Boston sports fan, and maple syrup connoisseur.

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Personalized SMS Combined with Animation is Your Secret Revenue Hack

At the end of the day, growing revenue for your brand matters. Of course, doing it alongside building long-term customer relationships and delivering exceptional products and service helps. 

After all, every business is about the customers. You want to do everything you can to engage them and ensure they have a great journey through your funnel. 

That may mean looking at your marketing approach in a new way to find opportunities to stand out and make an impact. And that’s where we think animated, personalized SMS makes a huge difference. 

The magic of performative personalization

Email has always stood out when it comes to delivering personalized messaging. But now, you can apply the same approach to creating amazing customized content in your email to SMS tailored to each reader.

The secret? The Zembula platform, for one. We work seamlessly with your current SMS providers to help you deploy personalized messages with just a few clicks. That allows you to personalize at scale, meeting your readers wherever they are and boosting engagement. 

Performative personalization does the rest. It’s our approach to personalized messaging. Instead of relying on generic personalization that doesn’t move the needle, we use data-driven insights to highlight the personalized messaging most likely to generate revenue. 

With Zembula, you’re not guessing about what might move the needle. You’ve got the content you know that creates more conversions and revenue. 

Tap into animated SMS for even more personalization

The approach works for both email and SMS. And with SMS, you can add another fun element into the mix — animation. Let’s face it, today’s consumers are savvy. They know what they want (personalization) and are willing to move on when they don’t get it from brands.

So, marketers are under even more pressure to ensure they have the goods to deliver. Combining personalization with animation helps in a couple of major ways. 

Now, add personalization to the mix, and you have a powerful one-two combo that gets readers excited about your messages and eager to engage with them. 

All of that helps drive more conversions and revenue for your brand. 

Data-driven results for more revenue

At Zembula, we focus on using data-driven insights to help personalize messaging and drive revenue. It’s true for email and SMS messaging. 

So what you can do is look at your biggest areas of opportunity to drive revenue through animated SMS messages. We have a few ideas.

An easy place to start is with an abandoned cart and browse SMS message campaign. These work really well in email, and it’s no different for SMS. In fact, the conversion rates are even better, so you don’t want to miss more opportunities to convert.

Another way to wow your clients with personalized, animated SMS messages is using geolocation. Consumers respond to weather-based messaging. For example, create a triggered reminder to highlight specific products when the local weather is bad.

Animation lets you stand out because you can tell a story through dynamic blocks rather than a few static words of text. Grab attention with name personalization, feature product images, and then provide personalized loyalty points — that approach will set you apart.

Make your texts move with Zembula

We love working with brands that take personalization seriously. That goes for both email and SMS marketing. And once you understand the synergy between the two, you’ll take your marketing strategy to new heights.

We’ll show you how to add animation to your personalized SMS messages and really stand out from the competition. And the best part? It’s a lot easier than you think. Our platform automates the process and does all the heavy lifting. 

Interested in learning more? We’d love to chat. Get in touch and request a demo.

Liz Gravatar
Liz Froment

Liz Froment is a content writer at Zembula. A graduate of University of Massachusetts at Amherst, Liz is a travel aficionado, Boston sports fan, and maple syrup connoisseur.

Grow your business and total sales

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5 Email Personalization Tools You Need to Try

Email personalization is vital. However, it’s not always been easy to optimize at scale — until now. There are some fantastic tools out there that let you dig into creating and sending personalized emails to help boost clicks, conversions, and revenue.

As personalization becomes increasingly important, it’s necessary to build it into every facet of your marketing. But marketers already have a lot on their plates, and it’s not always easy to find the time or the tools to make it work. 

That’s why we want to make it simple for you. Here are some of our favorite email personalization tools that help you turn data into better, more engaging, personalized messages. 

Let’s dig in!

Bluecore

If you’re a retailer trying to improve your email marketing engagement and generate more revenue, Bluecore can help. Retailers have tremendous amounts of customer data, but are you using that to help create one-to-one personalized messaging to drive action? Bluecore solves that problem for you. 

Bluecore tracks and predicts shopper behavior, launching triggered personalized messages that keep customers buying. Plus, their predictive models help you identify potential repeat customers, reducing churn and increasing repeat purchases.

Persado

In today’s marketing, building omnichannel experiences are more important than ever. Consumers want to switch between channels without losing personalization or part of the customer experience. That’s where Persado comes in.

Persado works across channels and uses generative AI to deliver the precise language that motivates shoppers to engage with your messages. The platform marries customer data and predictive behavior to find the best messaging to drive action — boosting both conversions and revenue for clients.

Jacquard 

There are so many moving parts in any email. Marketers know this. You could run dozens of A/B tests checking everything from headlines to emojis and CTAs, never mind the content itself. Running even a fraction of those tests takes time and energy and could potentially cost revenue.

With Jacquard (formerly Phrasee), you don’t have to play the guessing game. Their AI-powered tool predicts content that should perform the best based on data. Once you have your campaigns up and running, it’s easy to optimize and based on real-time results. Phrasee helps automate your email personalization at scale.

Stylitics 

Every retailer knows merchandising is a visual process. So you need to bring that to your email marketing. The more shoppers can see your products, get recommendations, and get style and trend information, the better for your brand. Stylitics helps create that at scale. 

Stylitics’ algorithm helps build a personalized shopping experience for consumers using AI-driven styling tools and dynamic catalogs. That makes it easy for brands to offer upsells, highlight recommended products, and create featured shops based on customer behavior and purchase data. 

Segment

Marketers have access to more data than ever, but finding the signal in the noise is difficult. If you ignore data, there’s no doubt you’ll miss out on potential chances to boost conversions and revenue. But spend too much time sifting through the data, and you may miss out on quick opportunities to pivot.

Segment is a tool that helps marketers get more from data, activating it for success. With Segment, you can feel confident your data is clean. That gives you a much more complete view of your customer’s interests and behavior and lets you jump on real-time information to reach your audiences at the right moment.

Zembula

We had to include a bonus email personalization tool — Zembula! With our platform, email personalization at scale is easy and automated. We do the heavy lifting for you, using performative personalization, a data-driven approach to finding the best messaging that drives revenue. 

Using dynamic, personalized, and animated Smart Banners™ and Smart Blocks™, you can tailor every message you send to individual readers, giving them a customized experience in every email. Our amazing clients have seen lifts in engagement, conversions, and revenue using our proprietary email personalization tools. 

Pick the right email personalization tool for you

Email personalization will only become more important over the years, so you must ensure you’re doing everything possible to include it in your marketing strategy. 

We’d love to help! If you’re ready to personalize emails, get in touch. One of our experts will guide you through the process. 

Click here to request a demo.

Liz Gravatar
Liz Froment

Liz Froment is a content writer at Zembula. A graduate of University of Massachusetts at Amherst, Liz is a travel aficionado, Boston sports fan, and maple syrup connoisseur.

Grow your business and total sales

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