What Is a Good ROAS for Facebook Ads in 2025?
Businesses rely heavily on Facebook and Instagram ads to acquire customers, but one question comes up more than anything else: what is considered a good ROAS for Facebook Ads? The answer depends on your industry, margins, campaign type, and whether your goal is scale or profitability. In this guide, we break down what a good ROAS really looks like in 2025 and how brands can improve it sustainably.
This article is designed for founders, ecommerce owners, performance marketers, and growth teams who want clarity on realistic ROAS expectations—backed by data, benchmarks, and a practical approach to measurement.
1. What ROAS Means and Why It Matters
ROAS (Return on Ad Spend) is a core metric that tells you how much revenue you generated for every dollar spent on ads.
How ROAS is calculated
ROAS = Revenue / Ad Spend
For example, if you spend $1,000 and generate $3,000 in sales, your ROAS is 3.0x.
Why ROAS is important
- Shows the profitability of your ad efforts
- Helps you decide if you can scale up spending
- Enables comparison between campaigns and audiences
- Improves decision-making for budgeting and forecasting
2. What Is a Good ROAS for Facebook Ads in 2025?
A good ROAS for Facebook Ads in 2025 typically falls between 3x and 5x for most ecommerce and service-based businesses. However, this benchmark can shift based on your average order value, margins, and business model.
General ROAS Benchmarks
| Industry | Average ROAS | Good ROAS |
|---|---|---|
| Ecommerce (General) | 2.5x – 3.5x | 4x – 6x |
| Fashion & Apparel | 2x – 3x | 3x – 4x |
| Beauty & Personal Care | 2x – 3x | 4x – 5x |
| Home & Lifestyle | 3x – 4x | 5x – 7x |
| High-Ticket Services | 5x – 8x | 8x – 12x |
Why ROAS varies across businesses
- Profit margins differ dramatically
- Average order value impacts ROAS potential
- First-time purchases vs repeat customers change profitability
- Funnel structures differ between industries
For example, a brand with a $30 AOV will never hit the same ROAS as a brand selling $600 products—even with perfect ads.
3. ROAS vs MER: Why ROAS Alone Can Mislead You
ROAS is helpful, but it only measures ad-attributed revenue. Because of privacy updates (iOS 14.5+) and attribution windows shrinking, ROAS can be inaccurate or incomplete.
MER (Marketing Efficiency Ratio)
MER = Total Revenue / Total Ad Spend across all platforms
This gives a more reliable picture of your actual profitability compared to relying only on Facebook-reported ROAS.
When to use which metric
- ROAS: good for campaign-level decisions
- MER: good for overall business decisions
4. What ROAS You Should Aim For Based on Business Goals
Goal: Profit First
- Target ROAS: 4x – 8x
- Used by smaller brands and businesses without investor funding
Goal: Scale First (Break-Even)
- Target ROAS: 1.5x – 3x
- Common for fast-growing ecommerce stores
- Profit comes from repeat purchases and LTV
Goal: Aggressive Scaling
- Target ROAS: 1x – 2x
- Brands sacrifice short-term ROAS to acquire customers quickly
5. How to Improve ROAS on Facebook Ads
A high ROAS comes from a combination of creative, audience, landing page experience, and backend funnels. Small improvements across each stage can multiply your revenue.
1. Improve Creatives
- Use UGC-style videos
- Test multiple hooks in the first 3 seconds
- Highlight benefits over features
2. Strengthen Your Offer
- Bundles and volume discounts
- Limited-time incentives
- Free shipping thresholds
3. Optimize Landing Pages
Your page structure affects ROAS as much as the ads themselves.
- High-quality images
- Fast loading speed
- Clear call-to-action
- Trust badges and reviews
4. Enhance Targeting and Audience Refinement
- Use Advantage+ shopping campaigns
- Retarget high-intent visitors
- Exclude low-quality traffic
5. Improve Backend and LTV
- Email and SMS automation
- Subscription programs
- Personalized product recommendations
Key Takeaways
- A good ROAS for Facebook Ads in 2025 is typically 3x–5x, depending on industry and margins.
- ROAS alone doesn’t show full profitability; MER gives a clearer picture.
- Brands should choose their ROAS target based on business goals: profit, scale, or aggressive growth.
- Creative, landing pages, and backend automation are the biggest ROAS multipliers.
Book a Free Strategy Call
Want to improve your ROAS or scale your Facebook ad campaigns? Book a free consultation: https://ncmborz.com/free-consultation/
