A good ROAS depends on your industry, business model, and ad platform. Here are general benchmarks:

  • 1.0x ROAS – Breaking even (spending $1 to make $1)
  • 2.0x ROAS – Low profitability (needs optimization)
  • 3.0x – 4.0x ROAS – Standard for profitable campaigns
  • 5.0x+ ROAS – Strong performance, well-optimized ads

E-commerce businesses typically aim for 3-4x ROAS, while SaaS companies may tolerate a lower 1.5-2x ROAS due to higher lifetime value (LTV).