{"id":35327,"date":"2018-09-20T09:48:01","date_gmt":"2018-09-20T09:48:01","guid":{"rendered":"https:\/\/www.certificationanswers.com\/?p=35327"},"modified":"2018-09-20T09:48:01","modified_gmt":"2018-09-20T09:48:01","slug":"your-clients-product-costs-us50-to-produce-and-it-sells-for-us150-shes-sold-10-units-and-spent-us700-on-her-google-ads-campaign-how-would-you-calculate-her-return-on-investment","status":"publish","type":"post","link":"https:\/\/www.certificationanswers.com\/en\/your-clients-product-costs-us50-to-produce-and-it-sells-for-us150-shes-sold-10-units-and-spent-us700-on-her-google-ads-campaign-how-would-you-calculate-her-return-on-investment\/","title":{"rendered":"Your client\u2019s product costs US$50 to produce, and it sells for US$150. She\u2019s sold 10 units and spent US$700 on her Google Ads campaign. How would you calculate her return on investment (ROI) to help her understand the benefit of using Google Ads?"},"content":{"rendered":"<p>&nbsp;<\/p>\n<p>Your client\u2019s product costs US$50 to produce, and it sells for US$150. She\u2019s sold 10 units and spent US$700 on her Google Ads campaign. How would you calculate her return on investment (ROI) to help her understand the benefit of using Google Ads?<\/p>\n<p>&nbsp;<\/p>\n<ul>\n<li><span style=\"color: #000000;\">US$1500 (revenue) \/ US$1200 (cost + Google Ads spend)<\/span><\/li>\n<li>[US$1500 (revenue) \u2013 10 (number of products sold)] \/ US$1200 (cost + Google Ads spend)<\/li>\n<li>[US$150 (sales price) \u2013 US$1500 (cost)] \/ US$700 (Google Ads spend)<\/li>\n<li><span style=\"color: #008000;\"><strong>[US$1500 (revenue) \u2013 US$1200 (cost + Google Ads spend)] \/ US$1200 (cost + Google Ads spend)<\/strong><\/span><\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<p>Explanation:<\/p>\n<p>&nbsp;<\/p>\n<p>ROI is the ratio of your net profit to your costs.\u00a0To calculate ROI, take the revenue that resulted from your ads, subtract your overall costs, then divide by your overall costs: ROI = (Revenue \u2013 Cost of goods sold) \/ Cost of goods sold.<\/p>\n<p>Read more here: <a href=\"https:\/\/support.google.com\/adwords\/answer\/14090?hl=en\" target=\"_blank\" rel=\"nofollow noopener\">https:\/\/support.google.com\/adwords\/answer\/14090?hl=en<\/a><\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>&nbsp; Your client\u2019s product costs US$50 to produce, and it sells for US$150. She\u2019s sold 10 units and spent US$700 on her Google Ads campaign. How would you calculate her return on investment (ROI) to help her understand the benefit of using Google Ads? &nbsp; US$1500 (revenue) \/ US$1200 (cost + Google Ads spend) [US$1500 [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","footnotes":""},"categories":[33],"tags":[],"class_list":{"0":"post-35327","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-google-ads-search-advertising-certification-assessment-answers","7":"entry"},"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.0 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>\u25b7\u2764\ufe0fYour client\u2019s product costs US$50 to produce, and it sells for US$150. She\u2019s sold 10 units and spent US$700 on her Google Ads campaign. How would you calculate her return on investment (ROI) to help her understand the benefit of using Google Ads? - Certification Answers<\/title>\n<meta name=\"description\" content=\"Get the answer of \u23e9Your client\u2019s product costs US$50 to produce, and it sells for US$150. She\u2019s sold 10 units and spent US$700 on her Google Ads campaign. How would you calculate her return on investment (ROI) to help her understand the benefit of using Google Ads? \u2705\u25b7\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.certificationanswers.com\/en\/your-clients-product-costs-us50-to-produce-and-it-sells-for-us150-shes-sold-10-units-and-spent-us700-on-her-google-ads-campaign-how-would-you-calculate-her-return-on-investment\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"\u25b7\u2764\ufe0fYour client\u2019s product costs US$50 to produce, and it sells for US$150. She\u2019s sold 10 units and spent US$700 on her Google Ads campaign. 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