Question: Take a look at the sample search term report shown below and analyze the different performance metrics. Which is the best performing product/keyword for return on ad spend (ROAS)?
- Sneakers
- Hiking shoes
- Running shoes
Explanation
Return on ad spend compares attributed sales against ad spend to show revenue efficiency. The best-performing product or keyword is the one with the highest ROAS value in the report. A higher ROAS means the campaign generated more attributed revenue for each dollar spent. This metric is useful for identifying which keywords or products should receive stronger budget or bid support.
Why the other options are incorrect
Hiking shoes has a lower ROAS than the highest-performing product or keyword in the report.
Running shoes has a lower ROAS, so it is not the strongest revenue-efficiency performer.
Source for verification
https://advertising.amazon.com/library/guides/measure-improve-campaigns
https://advertising.amazon.com/library/guides/amazon-advertising-cost-of-sales-acos
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