An advertiser invested $10,000 in a Product Ads campaign and generated a revenue of $100,000 in the same period. What is their ACOS?

ACOS (Advertising Cost of Sales) is calculated by dividing the total ad spend by the total revenue generated from those ads, then multiplying by 100 to get a percentage. In this case, the ad spend is $10,000 and the revenue is $100,000. So, ACOS = ($10,000 / $100,000) 100 = 0.10 100 = 10%. This metric helps advertisers understand the efficiency of their ad campaigns. 7% would imply a lower ad spend relative to revenue, or higher revenue. 35% would indicate a significantly higher ad spend relative to revenue, making the campaign less efficient. 500% would mean the ad spend was five times greater than the revenue, which is highly inefficient and unlikely for a successful campaign.