2 years working at Facebook/Meta and now 6.5 years scaling roasmedia.com– this is the biggest thing I wish more people understood properly when it comes to how website performance affects ad performance (I don’t sell website services but you can see below the impact in $ terms):
Are you at the top end of the scale for website conversion rates or the low end vs your competitors and what does it mean when you look at that math? (the image here showcases #Shopify benchmarks vs similar stores).
In scenario A/B, ad spend is $40k a month and all ad/website metrics stay constant between Brand A and Brand B, except Brand A has a website conversion rate of 5% and Brand B has a conversion rate at the lower end of the benchmarks, of 1.5%.
Brand A (5% conversion rate): Generates $182,857.14 in ad revenue (4.57x ROAS) in this scenario.
Brand B (1.5% conversion rate): Only Generates $54,857.14 (1.37x ROAS).
If a brand is looking to engage our services but has very low conversion rates vs the industry average, this is why we encourage them to fine-tune their website first before engaging with us on media buying and you can see mathmatically how the investment in web development here makes a huge difference. Without fine-tuning the website, it’s not a fair playing field, you would have to hit some crazy high CTRs/AOV to even get close to your competitor’s results.
If you’d like to make similar comparisons for your own brand vs competitor/benchmarks, you can use our ROAS Calculator here: https://roasmedia.com/the-roas-calculator/
