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The Facebook ROAS Death Spiral
Episode 376

The Facebook ROAS Death Spiral

Scale profitably again post-iOS15

The Unofficial Shopify Podcast · William Harris, Kurt Elster

November 16, 202154m 12s

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Show Notes

This episode is also available on YouTube: https://youtu.be/2O8th50rMbM

If you advertise on Facebook (or other ad platforms) you need to understand Media Efficiency Ratio (MER) vs. Return on Ad Spend (ROAS) and how to think about advertising incrementally.

  • Why Facebook Ads reporting on ROAS is broken.
  • If you’re pulling back on Facebook ads as a result, you're hurting your business.
  • Switching to a different metric based on the two cold-hard facts of your business (money leaving your bank and money going into your bank) can get you back on track and scaling profitably again.

Our guest today is William Harris, founder of Elumynt, a growth agency for Shopify stores. In the last 9 months, they've helped six clients get acquired, with the largest selling for a whopping $800M.

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Topics

william harrisfacebook advertisingshopifymermedia effiency ratioecommerceelumyntroasreturn on ad spend