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Understanding your return on investment (ROI) in Google AdWords is one of the most important things you need to know how to do when it comes to AdWords and PPC management. You won’t be able to understand your pay per click campaigns if you can’t determine how profitable your AdWords campaigns are. This video will show you how to calculate ROI in AdWords and what the difference between ROI and ROAS (return on ad spend) is.

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12 COMMENTS

  1. I have watched all of your latest guides on Google AdWords and must condemned that all are fabulous piece of work by you and your team. Videos are very explanatory with real examples. This idea of sharing your expertise must go forever. I wish to see more frequent updates on your channel.

  2. I don't understand why not just make your Conversion Value be the profit? The example you have gave with a book (if it costs 5$ than the conversion value is 5$) like I said, why not make that value be 2$ "profit" rather than 5$. Than you can use ROAS bidding and use columns like (cost) (total conversion value) next to each other and easily see what adgroup, keyword, campaign is generating a profit.

  3. Once again you made it easy Mr Issac .A great video to watch for all adword practitioner.. You explained well about ROI & RAS. I am really looking forward more videos on Adword. Thanks a lot for giving us a great video.

  4. I watched all of your latest guides on Google AdWords and I recommend all watching your videos.Fantastic work. Videos are very explanatory with real examples. I wish to see more frequent updates on your channel.Great Work Isaac

  5. Hello , thx for the video, honestly ,I don't get it !! … some ppl says that if u have a positive ROI then u are good ! …. another thing , when u have calculated the ROI, u have devided the profit by the cos of ads ! … my question is: does the profit that u have calculated using a 40 % margin takes on considertion the cost of your ads?? … I mean after multiplying your revenu by 40% , shoudn't you subtract the cost of your ads from the result ?? … and why have u devided the profit onlly by the cost of your ads?? shoudn't u devide it by the total cost ( ads + investment on other things like shipping and ppl )

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