How To Measure Paid Media ROI (ROAS)

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Cost Per Lead (CPL). If they are being held to a lead goal, they want to know how much they are paying for leads, not clicks (CPL vs. CPC). When you know how many leads a channel or specific campaign generated and you know how much you spent on that channel or campaign in the same time period, you’re able to calculate CPL. CPL is a good high level indicator that your paid media is attracting the people that you’re actively targeting and that your offer is appealing.

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63 Digital Advertising Terms Every Marketer Should Know

Act-On

Attribution : The goal of attribution is to identify which touch, of the many possible, is most (or partially) responsible for a conversion, so ROI can be calculated. First touch, last touch, and multi-touch are common attribution models. With first-touch attribution, the ad would get the entire credit for the sale. With last-touch, the phone call gets all the credit. With multi-touch, the ad, the email and the phone call each get partial credit.

63 Digital Advertising Terms Every Marketer Should Know

Marketing Action

Attribution : The goal of attribution is to identify which touch, of the many possible, is most (or partially) responsible for a conversion, so ROI can be calculated. First touch, last touch, and multi-touch are common attribution models. With first-touch attribution, the ad would get the entire credit for the sale. With last-touch, the phone call gets all the credit. With multi-touch, the ad, the email and the phone call each get partial credit.