Stop Optimizing for ROAS and EXPLODE GROWTH with This Simple Testing Method

If you are an E commerce business, eventually you are going to hit a ceiling with your ROAS targets in your Google Ads account. Now I have an entire training series called Scaling E Commerce Beyond Roas. This document which has all the nitty gritty details will be inside of our group called PPC Copilot. In that group I do like weekly Q&As. I have my Google Ads courses in there and, and ongoing Google Ads training. So if you're interested in that or you know, getting this, that link to the group will be in the description below. I on this video I'm going to give you a sort of condensed, quick version of Scaling E Commerce Beyond Roas. Cause it's a very important topic because every one of you eventually if you're running Google Ads, you just, you're going to hit this row as ceiling. So the more you spend, the less roas you get and then you freak out, right? Well, I'm going to show you why that happens, why that's a trap and how to go beyond that. What big fast growing e commerce businesses are actually looking at and they stop actually caring about roas over time. So let's dive in. Okay, the ROAS trap. Why obsessing over high roas is limiting your E commerce growth. Okay, so quickly, what is roas? Right, it's revenue generated divided by your ad costs. So if you spend a thousand and you generate 4,000, you have a 400% ROAS, right? Well, ROAS became this like gold standard in the industry. And for good purposes I suppose it's easy to understand and track. It provides a clear benchmark on like campaign performance. And then you know, it's a direct tie between ad spend and revenue. And that's what got shoved down everyone's throats, right through various marketing people, Google, whatever. And that's just what everyone's been trained on. It's like you must just focus on high like roas or high roas. And now it's like what is roas? Simply, roas is revenue divided by ad spend. But what roas hides so much, right? What does that even mean? And sometimes when you pull back the layers of that revenue that was made up that roas, it's like this is inefficient. This isn't going to give you guys growth. I've seen companies, they go to high roas and then they end up declining as a company over time because they just focused on increasing the roas. Well, what happened? They just started basically getting more money from their ads from warm, repeat Customers, not new customer acquisition. Acquisition, which I'll talk about. But this is what happens. A lot of businesses who set these high ROAS targets are like, well, we need a minimum of this roas to be profitable or we can't scale unless we maintain a 400% ROAS or pause any campaigns below this ROAS target. Without going any further. It's like this ROAS number is the ultimate number and it's not. And that is a problem. And it creates the ceilings that a lot of e commerce businesses approach. Why? It's going to limit your audience reach. And you basically are telling Google's algorithm to focus on easy conversions only. You'll never expand into further audience pools. You create this invisible growth ceiling and again, you get stuck in just certain audience intent pools because of that. And that's what you're training Google to do, especially today with smart bidding. And you leave significant profit on the table. I can't tell you how many e commerce businesses I've talked to. I'm like, have you tried going on lower roas and tracking what happens to new customer acquisition and profit? Well, no, because we can't. Well, why can't you? Do you know what your numbers are? And then they don't even know their numbers. Right. So here's a quick illustration for you. Scenario A, high RO as approach this company, I have to have 500%. Well, they get stuck, they spend a thousand bucks, they generate 5000. Production costs or product cost is 2500. So 50%, right. Net profit 1500. Scenario B, this company decides, hey, I'm going to go down to 300% ROAS. They spend 4,000, they generate 12. They say they have the same product cost of 50% but they make a net profit of $2,000. Right. Then there's the other limit of pushing the limit. So you even go further, you spend 6, you do 15K6, same 50% cost, net profits 1500. So in C, scenario C, you have the same profit as A, I would still rather be C. Why? Because you're going to generate way more new customers here. But scenario B ultimately makes you the most profit there. You have to track this though, to find that. But I'm telling you, there's a lot of companies right now spending 1,000, doing 5,000 revenue at a 500% ROAS and they're like, I'm stuck, I can't go any further. And it's like, why are you stuck? Well, they freak out about roas when you have to start creating testing frameworks, having back end Business data that you're tracking, knowing what your ads are actually producing in regards to new customer acquisition and then knowing ultimately in CAC to ltv, which I'll talk about further. But you have to go beyond a simple Roas number eventually, especially when you hit those ceilings. So you're going to know when you hit those ceilings because your campaigns can't spend the full budget, you're going to hit plateaus, you're going to struggle to grow and you're going to wonder why your competitors who like have maybe worse ads than you seem to be spending more because they have higher impression share. So you can break through all of this and I'm going to share further. Okay? So you must understand the math, right? First, and we already know what ROAS is, but we also you need to know then your margins on your products. And I can't tell you how many companies I talk to who still somehow don't know their margins. Why is that important? Because you really need to know then what ultimately would be like your break even Roas. And to find your break even Roas, all you do is take 100 divided by your profit margin percent. So if you have a profit margin of 30%, 100 divided by 30% or sorry, 100 divided by 30 equals 333%. Okay, we know just simply off of margin that you can't go below 333% ROAS in the account right now, otherwise you go unprofitable. Anything above that will be profitable. So you need to know break even Roas in the beginning, okay. And to do that you actually need to know your margins. And if you don't know your margins, you, I don't know how you run an E commerce business, but there are so many E commerce businesses I talk to and they, they actually don't know their margins. You must figure out your margins, right? And this is just your product margins. This can go way deeper, right, Knowing like cost of delivery and things like that. But we're not gonna go there right now. It's just what is, what's your product margins at this point, okay. So as you increase your spend, right, you're gonna reach more potential customers. But Roas typically starts decreasing, right? You get this lower efficiency, but total sales volume normally increases, which equals more new customers for you, right? This often can result in actually more total profit. And this is why fixating on Roas alone will actually limit your growth. So you need to actually plot this, okay? So it's called finding your profit peak. Okay. So you spend X amount of dollars one month at this Roas, what was my back end profit? And then I spend X amount of dollars the next month at this row as what was my profit. Eventually you're going to find your sweet spot, right? Too low of a ROAS is insufficient spend. You lose money. Especially if you know your break even ROAS based off of your product margins. Too high of ROAS limits your volume, right? So here's a nice simple little bell curve. Boom, there's the peak that and this is just made up math here, but this is the peak here. Well, most companies don't even go here. They don't plot this, they don't track this, they, this is what you must do in order to actually start finding those sweet spots for you and breaking through some of these ceilings. So in this I have this real world sort of example of a fashion store, right? And you know they spent $5,000 a day at 400% ROAS. 7,500 at 3:50, 10,000 at 315 at 2:50. Well, boom, they plotted, they had this at 300% ROAS, they made the most amount of daily profit, $6,000 a day profit, right? This couldn't have been found though without actually plotting this and knowing these numbers and tracking the back end profit that you're getting from your ad spend. This allows them at least to understand what ROAS metrics are providing on the back end. Again, not just having this ROAS number. And then you must stick to that no matter what because you don't know ultimately what your sweet spot is until you completely track this. And this is requires tracking your back end business data. So listen, a simple step by step process in this is just calculate your profit margin, determine your break even roas and then you just start testing ROAS targets and these 50% increments above your break even. How much can you push this? Right? Then you track total profit and new customer increase from these tests and then you identify which ROAS target generates the most profit. So this is a very actual simple strategy to at least get you beyond just being stuck on one simple ROAS number. You now go through this testing phase, you're still using roas and later on in this video, ultimately I'm going to try to break your paradigm of even thinking of roas. But, but this is a simple way of at least getting beyond just thinking about roas. And now you're thinking of ROAS in regards to what does that ultimately mean for profit maximization and new customer increase maximization. But it's Done through testing and plotting and finding that profit peak for you. Okay, going to the ceiling, right? Why do you hit ceilings when you have like a roas target and eventually your campaigns won't spin the budgets and you can't scale, right. Becomes difficult. Then you, you start seeing competitors who start scaling in. You're wondering why. Well, you have to understand there's audience pools, right? So even though people are going to be searching the same thing for your products, some people are going to be very, very high intent to buy, some people will be very low, and some will be in the, in the middle. Everyone wants this high intent, right? This is the smallest percent though of the overall audience pools out there. This though is where you get high roas. So when you're sitting and these are made up numbers, this will obviously vary for your business and depending on competitors and whatnot. But here, like you're at 500% ROAS, right? And when you try, when. And again, I'm trying to break you from this, but when you go below that, you freak out because then usually this is going to happen when you spend more. Well, what happens there? Well, you start spending more. You're moving into these other audience pools. So you're getting outside of just high intent and you go into this medium intent land, right? By the way, the big players, the big spenders, they know how to make money from all of this. But a lot of companies get stuck here. Like, I need 500% ROAS. Your campaigns have been dialed in to the conversion volume you've generated, the smart bidding that you've trained the machine learning on, they know how. Google knows how to get you 500% now, but it will never expand for you because it knows if it goes into further auction pools, it's going to end up going into medium and low intent searchers. And it knows, hey, we can only stick to this high intent search percent of the overall audience pool because this is where we can get 500% ROAS, which is what this advertiser is, is essentially telling us that we need. But the money in and the audience size is actually not there. And this is where everyone wants to compete too, right? The money in this bigger audience pool size is actually when you start going into a bit of the lower roas world, right? Because that's where the volume's at. And so Google's algorithm creates the ceiling, but you've created it by telling Google that you need x percent of a ROAS. So in this case it's 500%. And Google knows if we Go below that into these medium or low intent pools, which is where a lot more searchers are happening and where you could get more auction share. Those people don't show intent though, to purchase. So we're not, we're going to stay away from that. We're just only going to be in this warm pool where we can get 500% from. So what happens is this restricts your targeting. So the algorithm focuses exclusively just on high intent. It avoids medium and low. And this creates an artificial ceiling or limitation on your campaigns. This will limit in your bids. The smart bidding will basically not bid as competitively as those that are willing to go with lower roas. Right. And then this will reduce your competitiveness in those auctions which you sacrifice volume for. Okay. And then this has budget constraint. Now this is why you can't spend your full budget. Hey, I gave it a thousand dollars a day, it spends 200. This is why Google won't go. You've artificially created a ceiling based off of your ROAS targets and this is why you can't go into those further auctions and get more volume. And this is why this creates this illusion. Well, ads are working perfectly. I just can't scale though, because we just can't make money when we scale. Right. It's nothing more than the law of diminishing returns and advertising. Usually what's funny, especially when I'm talking to small spenders who are making like huge roas but they're afraid to go get lower roas again because they don't know they're back in business insights. Usually what you can find. Google can eke out high roas for you. In the beginning when you have small budgets, it's when you start trying to scale. And again, these numbers. Don't worry about this. This will differ for everyone I know here, it's 1 to 36k. This is not a universal thing. Okay, okay. These are just example numbers. But as you scale right, to get more volume, you will lose efficiency. But you only lose efficiency if you don't know your back in business metrics, which we're, we're leading into. Right. But this is what and why the ceiling gets created where you feel like you can no longer scale when you're stuck on a ROAS target. Just to give you another quick example here though, business a, the ROAS protector. All right, they need to maintain 500 ROAS. Okay. And this is after a one year period. So they generate $3,000 per day at 500%. So $3,000 per day in profit at 500 ROAS. And they're like, hey, we're, we're, we're awesome. Our numbers are great. We're growing at 15 year over year. Then business B, same product, same margins, right? They're like, we're gonna go with lower roas because we know our back end business metrics and we know we can actually get more profit because we're going to get more volume at that lower roas. So they go to 350. AD spends $8,000 a day versus 2 revenues $28,000 a day versus 10, profits $5,600 a day versus 3. What do they get? 85% year over year growth. People are gonna be like, well hold on, you can't just go from $2,000 a day, $8,000 a day, make that happen. You're right. There's learning phases that have to happen. When you start increasing ad spend and you're getting lower roas, you don't immediately just end up with more profit. Right now you have to first a, know your numbers, track your numbers and go through these testing phases which I'll talk about on how to get there. But this is reality for many companies out there. They get stuck here and they think things are great because they're at this 500% ROAS target. When the reality is if they could have gutted testing and knowing their business data and testing lower roas, they actually could have gobbled up more volume and generated more profit overall and had higher year over year growth than, than being stuck in comfort land where they were at this 500% ROAS target which they're, they were stuck. Google got em what they wanted here. They just were stuck thinking they can't go lower than 500% because ultimately it just leads to less profit for them or you know, less sales overall too. That's not the case if you know your numbers. Okay, so how would you actually go about testing then lower roas and feeling comfortable about it? Well, create a baseline assessment. So know what your current average daily, weekly, monthly spend is, what your current roas is, what your current roas by campaign is, and then start to know what your profit contribution is from those campaigns. All right, and then what is your new customer acquisition rate from that as well? How many new customers are you driving on average per month at these roas numbers within these campaigns? Now you have a baseline assessment. Then you want to define what your success metric here is. It's going to be new customer acquisition growth and hopefully more profit. That's ideal. But you also need to know what your acceptable ROAS floors are, right? And that's going back to knowing what is break even roas so you don't end up losing money in these testing phases. Then you add or reallocate budget to start testing. There will be temporary efficiency decreases. Okay. You don't just go from, I know I gave you all these like hypothetical examples. It's like well, they went from 5%, 300, 350% and here's what their profit went to per day. That doesn't happen day one in, in a lot of cases doesn't even happen. I'm gonna have a four week testing framework here, but usually it's gonna take a couple months, right? Why? Because as you in go into further auctions, right, and especially dipping into medium and low intent audience pools, it's going to take learning phases and you may not ultimately day one or even month one generate what you think is success, growth of new customer acquisition or profit. But don't give up, right? You're going to get some new data, you're going to be able to optimize some more of that data. The machine learning is going to learn on more of this new audience pool data that's coming in eventually. If you can, you start working your way to being able to operate then at these lower ROAS targets and ultimately generate more new customer acquisition and more profit. But you have to track this on the back end. So you have to have a testing budget. And then the most important piece here is establishing tracking. You have to be tracking your new versus returning customers. You have to be tracking customer new customer acquisition. So incac, it's most important metric and I'm gonna talk more about that here in a bit. And then also if you have, you know, you know and understand LTV and post purchase behavior, I'll talk about that as well. But this is, it's, it's super simple. This is what a four week little ROAS testing framework it could be. Again, this is a perfect world. It's probably never going to be four weeks, but you've got a control period, initial testing period, a measurement period and then hopefully a scaling period after that. That's the perfect world. But you have your control period. You set your, your baselines right, then you start testing. You don't have to go crazy. Just do 10 to 15% ROAS reduction and then start tracking that in a tracking sheet. Here's an example of one of ours. Okay, it's not hard. You just here's, and this is an example Though of scenario one versus scenario two. But this is here you would have your baseline of, here's what you were doing before at your return at your ROAS goal that you were stuck at. And here's what happens as you start decreasing in this scenario at a 30% profit margin this company generate, this is an example. This isn't a real company, but this company who was stuck at 1200% ROAS, right, at 30% profit margins ended up with about a million bucks. Okay. This company that decided, hey, same company, but they decided to start dropping their ROAS to get more volume ultimately ended up with 2.6. Now it's never this perfect or easy, right? But you have to get to this testing phase to even know. And you have to track this in like a testing sheet like this, right? So have that ready. You measure, you adjust, then you scale and optimize. It's honestly not that hard. You do need to have some, you know, pitfalls to avoid, right? So there's testing too many variables at once. Insufficient testing durations. You do not do this in one to three days, right? 30 days minimum. I like to see several months of testing. When it comes to testing lower roas versus what it happens, what happens on new customer acquisition volume and profit growth on the back end, usually even 30 days isn't enough time. So you have to be able to gut a sufficient testing duration. And don't freak out seeing roas decrease. That's the entire point of breaking through the ceiling that you're at, right? So don't freak out because you're so attached to that ROAS number. And then you need to have a rigid testing structure. You can't do this in a sloppy way. You got to test and monitor like a scientist would. Okay. In cac, my favorite metric and I've already talked about a little bit, but that is new customer, what you pay to acquire a new customer. Okay. And so think of CAC as your CPA that you use inside of a Google Ads account. You know, cost to acquire a customer. But in CAC is just new customers only. You're only looking at new, you don't look at return. Now this is what kind of the evolution of E commerce companies could look like in regards to metrics. Not always, but early stage zero to one million, you're super focused on roas. Usually that's fine, fine growth stage. Hopefully you're looking more at profit driven roas. But ROAS is probably still a big key. I would still think you should be implementing NCAC and MER somewhere in this stage. But absolutely when you're doing $10 million plus you're looking at NCAC and Myrrh and if you're not, you should be because if you're not and you're already at 10 million plus you've hit rare air and you probably have an insane scalability opportunity if you don't, if you're not using these metrics right now, this is what I've seen through my consultations in my career. This isn't perfect. So don't like think this is the exact, you know, science of formulas for e commerce metrics but this is kind of what it looks like, right? And I just, in this video I've been talking to you about, you know, the idea of breaking the paradigm of being stuck on like a specific ROAS target and starting to test and having a testing framework of reducing that and really looking at what's your new customer growth on the back end, what's total profit growth in the back end? Because I just showed you some examples where lower roas ultimately could actually equal more profit for you. This is taking it a stage further and this is where you ultimately should be really focused at a certain point because ROAS again hides things. It could include a bunch of repeat customers in that. Right? But when you see a row eyes like wow, we hit a 500% things are great. What if I told you though, half the revenue that was attributed to that ROAS came from remarketing that what does that mean for your business? It means you didn't acquire that many new customers and that is bad. You are on a slow death spiral now because you're not. You're over optimizing for warm audiences and you're no longer focusing on a new customer growth. And that's why NCAC super important because NCAC is telling you how much are you paying to get a new customer, right? Once you know NCAC to ltv which I'll talk about, that is the ultimate ratio to know, to be able to actually, really, really scale your business. Now I get asked what's the ultimate sort of NCAC target? Well, it's gonna depend on your business. The benchmark that I've seen is three to one. So you acquire a new customer for $100 and you know your LTV is about 300. So that's a three to one. That's like a benchmark sort of healthy range. Right? But this will depend on payback period times your growth objectives. So if you're super profitability focused, you're going to have a lower INCA target. But if you're really trying to like gobble up market share, you're going to have a higher acceptability in cac, right? This is also going to depend on your cash position and if you need faster payback periods versus someone who might be like VC funded. So all that really is a. This isn't like just make a number up. This is like meetings analyzing data. Okay, so don't just create some random INCA number out of thin air. You have to actually understand your business data. But when you start moving then to in CAC to ltv. So knowing what you're paying per new customer and then knowing what the lifetime value is, that is then where you can open up floodgates into what you're doing on the advertising side. And again you start actually stop focusing so much on roas. You don't care too much about roas. You're looking at more of your back end business data, your actual pnl. You're looking at how, how many new customer growth did we get versus what our repeat is right now? What did we pay for a new customer? We know, oh, LTV on these new customers for these product categories equals this. And we now know our ratios and now we know how to allocate our budget better. Right? So again ROAS only measures initial transaction value. NCAC will measure a cost per new customer, but neither will account for future customer behavior. And that's why in CAC plus LTV is ultimate of knowing how to actually move the needle within your E commerce business. And LTV reveals true customer profitability. It can transform your marketing from an expense to an investment. It enables strategic long term decision making and then it can justify higher acquisition costs when you know the trail tv. So I just told you like benchmarks three to one. Well you know, you want to make sure you know LT or you know your LTV to in CAC ratio, right? Because if you pay, let's say one to one. So if you pay a hundred dollars and your LTV on that customer is only a hundred dollars, which by the way I've ran into this with companies before, you're unprofitable, you have to avoid that. So you can, that means you have to lower your NCAC if you can. All right? Otherwise you're bleeding money. If you're getting a three to one, that's more benchmark, right? So I acquired a customer at a hundred, they spend 300 lifetime value from our data that we know. Excellent. That's a benchmark. If you're above that you're in these incredible like growth opportunities, okay? Because now like you're, you're acquiring a customer who's like 4, 5, 6, 7x in value to you through repeat purchases that happen within your business. This is why you see in like supplement businesses, cosmetics, they'll operate. If you look at their Google Ads account you would think, how is this company profitable? They're bleeding money. They're under 100% ROAS, right? No, they know that if I can get this customer into my world, use my product, that x percent of them will come back and buy every month or every couple months. And they have these post purchase frequency programs set up to get those customers to come back, right? That is where the margin is created. That is where the growth is created. When they can get those customers that they acquired to come back and become a customer for life. Right? And so that is how LTV to ncac, you can really start amplifying then your advertising channels because this is the math that allows you to just pour the gasoline on when you know what in CAC to LTV ratios are. Especially if you do the math. And I've done this with companies and I'm like, guys, why are you not spending more money? You're at a four to one, a five to one. That's incredible, right? They didn't even know it. So it's just they didn't get into the data. Now how do you calculate customer lifetime value? It's actually pretty simple, basic method, you calculate total revenue per customer over a 12 to 24 month period. This would just be like a simple one if you just want to do a simple analysis. If you're on Shopify, you can get all of your customer, you know, sales data there. It's kind of clunky but it's there. The other way you can look at a cohort analysis, look, something like this, this is inside Shopify. This will provide you some of that data as well. If you are some crazy billion dollar company, you're probably not watching this YouTube video, but you're probably utilizing predictive modeling. This is, I'm not even going to go there, but there's advanced methods there. Listen, none of it's perfect, but the data is there. Especially if you are on Shopify. You can use the cohort analysis or literally just calculate it per revenue per customer from the customer data that you have from the Shopify back end. Okay? Why is that so important? Right? Because what if you started looking now further beyond INCAC to just LTV now. So you remember we've started at ROAS and we've been diving deep, deeper and deeper into metrics and now we're at NCAC to ltv. What if you go even further, right? So what if you start looking at what is my LTV on 35 to 44 year olds versus 18 to 24. What if you found out your LTV is 2.3x an 18 to 24 year old, would it it make sense to go find more 35 to 44 year olds, right? Would it your in CAC change on a 35 to 44 year old, you can now spend more to acquire a 35 to 44 year old versus an 18 to 24 year old, right? What if you knew if a customer purchased product X they have a 40% higher LTV, wouldn't that make sense that you can now go spend more money on advertising that product? You can operate at a higher end cac, guess what that means you can operate at a lower ROAS for that product knowing you have a 40% higher LTV. What if you know certain channels, Facebook is producing a higher LTV than TikTok. Wouldn't that help you reallocate your budget? Right. So you can go deeper into this and now establish. This is pretty advanced and you know you got to really know your data here but you can now establish different in CAT goals which ultimately will lead to lower ROAS targets which leads to more aggressive in the auctions beating your competitors out. If you know this data, this also influences creative strategy. If I know that 35 year olds are worth 2.3x more to me than an 18 year old, I'm probably going to establish more creative that resonates with a 35 year old, not an 18 year old. Right? This allows you to offer structure and design offers that attract then more 35 year olds. Okay. This allows for landing page optimizations now which ultimately will lead to higher conversion rates. If you know this data then post purchase experience, right? How do I get LTV focused onboarding? Someone buys from me. If I know they're 35, right and I know they brought they bought product X there there's a double. That's a jackpot customer right there, right? They brought, they bought product X that we know we have higher LTV on and they're 35 which we know 2.3x more LTV from them versus an 18 year old. We can have an onboarding experience related to continuing to increase those high LTV customers for us. Right? All of that data though you have to analyze and that now influences what you're able to do on the advertising side of things, but not just that. This guides all of your business decisions on your product pages, your ad creatives and your post purchase experiences, which ultimately leads to more sales, better scale and breaking through these stupid little ROAS targets that other e commerce businesses get stuck in. Okay, I know that's a lot. I'm going to wrap this thing up. I'm going to give you a 90 day implementation roadmap. It's probably not going to be 90 days. This is a perfect world. But how do you prepare? You need to know your business metrics, right? You need to document where you're at today with spin and roas and NCAC and LTV and profit. Okay, then you need to go and test some certain, certain campaigns, right? And you have to have all of this done in a very rigid test where you're tracking this and there you start going through literally just decreasing your ROAS ceilings. Just simply do that. Then assess what the data shows. After a 30 to 60 day period, what happened to new customer acquisition growth? What happened to our ncac? Right? What happened to total profit from there, after you start reassessing the data, analyzing that data and understanding what's happening as you start lowering the targets and becoming more aggressive in the auctions within your ad campaigns, now you can start looking at implementing and expanding and implementing in CAC measurement and in CAC to LTV tracking. This is where you can have really long term growth opportunities. Once you start getting there, most of you don't need to go as like I'm talking when I was talking about 35 year olds and tracking LTV, most of you don't need to go there. Most of you right now just need to track what's my average new customer rate right now that I'm bringing in per month with my current ROAS targets in my campaigns and my ad spend. Set the baseline, lower your roas. Start trying to have the idea of acquiring new customers, but also doing that with more profit and then just tracking your back end data from there over time. Once you start breaking through these ROAS ceilings just by doing that and understanding your data a little more, you can go really wacky into the data. If you want to nerd out on it and understand what NCAQ to LTV ratios are at different channels, different demographics, different product categories, you can go nuts with that. But you don't need to even start there, right? I wanted to just bake that into this, an overall training because I think it's Fun and I think is important, but you don't need to be there. And so you can just start with lower ROAS targets. Track what the data on the back end shows, businesses that break free from that ROAS trap, what happens growth potential beyond competitors who are stuck in their ROAS traps and they don't know all this data that you now know you have strategic clarity. Okay. And now you're focusing on profit and new customer growth, not ROAS percentages. Okay. And as you dived in further into the data, you know who your customers are. You know who has high LTV to you. You know now how to strategically influence your ad campaigns and your ad creatives and your landing pages and your email marketing and your post purchase experience. This will give you channel diversity as well by probably valuing different acquisition sources. So you'll know what Facebook's able to get for you on a NCact to LTV over time versus what Google can get you from an in CAC to LT. This will give you a long term perspective through customer lifetime value and you'll have a sustainable advantage from building better measurement systems than your competitors. So while your competitors continue to chase arbitrary ROAS targets, you'll be building a more profitable, faster growing business on what truly matters. And that is not roas. Okay, if you made it this far, congrats. I hope you got some value from this. This could be one of those videos you really do need a go back in chunks and you know, think of it and how it relates to your business and then dive into the data of your business as this relates to it. I again hope you got value from it. If you want this doc that is in our school group called PPC Copilot, that is where I my Google Ads courses. I do a weekly Q and A. I, you know, people ask me questions every week. I give them, you know, answers to them. So you get direct access to me there as well. And I'll have this document available to everyone in the group. So the link to that group will be in the description below. If you're an E commerce business and you're spending money on ads and you're like, hey, I would love for your team to take a look behind the hood, see what we're doing, see where we're stuck, see where we could optimize and scale further, then if you qualify we offer a free audit. So the link to the free audit will be in the description below as well. Go. Absolutely. Take us up on that offer like we give you practical advice. And if I do the audit, which is sometimes I do audits. I'm as honest as possible with companies, and my team is trained that way, too. We're there to just give you the straight facts and give you practical advice. And sometimes that means, hey, we think you're doing the right things. Sometimes that means your account's really bad. And sometimes that. Sometimes that means your goal is not aligned with how you're operating your account. Right? You have set an unrealistic goal. I'll tell you that in the audit. And so again, e commerce businesses spending money on Google Ads. And you want my team to get behind the hood and give you practical advice? If you qualify, which you'll find out, go click the link to that free audit that's in the description below. I will see you on the next video.