Target ROAS
A Smart Bidding strategy that bids to hit a return-on-ad-spend goal you set.
Target ROAS, or tROAS, is a Google Ads Smart Bidding strategy where you set the return you want and Google bids in each auction to hit it on average. It is the value-based counterpart to a cost target: instead of aiming for a price per conversion, it aims for a ratio of revenue to spend.
It only works as well as the conversion values you feed it. Set a target far above what the account has ever done and Google throttles spend to almost nothing; set it from real, tracked ROAS data and it becomes the lever that scales profitably. The move from a cost goal to a value goal is the heart of our value-based bidding playbook.
Ground the target in your break-even with the break-even ROAS calculator, and make sure conversion tracking is passing real values first.
Put the number to work: the break-even ROAS calculator turns your margins into the ROAS you need, and a free Due Diligence Audit checks whether the figures you see are the ones you are getting. Back to the glossary.