Episode 680

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Published on:

18th Mar 2025

(Part 1) Why ROAS Sucks: The New Marketing Metric Everyone Should Use…But Aren’t

Return on Ad Spend (ROAS) has been the go-to metric for measuring success in digital advertising, but is it actually holding your business back? In this episode, we break down why traditional ROAS is misleading, how agencies manipulate data to appear successful, and what you should be focusing on instead. John Moran joins the conversation to discuss the metrics that actually drive growth, including Media Efficiency Ratio (MER) and New Customer Acquisition Cost (NCAC). Learn how to shift your marketing strategy to prioritize long-term scalability and profitability, rather than short-term vanity metrics.

Chapters:

  • 00:00:00 - Welcome to Perpetual Traffic: Why This Episode is a Must-Listen
  • 00:00:17 - The Episode That Changed How Marketers Measure Success
  • 00:00:55 - The Truth About ROAS: Why It’s Holding Your Business Back
  • 00:02:00 - John Moran Joins Tier 11: A Game-Changer for Performance Marketing
  • 00:03:47 - From Google Ads Expert to Growth Strategist: John Moran’s Evolution
  • 00:05:21 - The Fatal Flaw of Single-Channel Agencies
  • 00:06:57 - Why a Client-Centric Approach Beats Platform Metrics Every Time
  • 00:14:02 - How Marketing Measurement Has Been Broken for Years
  • 00:16:54 - The New Marketing Strategy That Actually Scales Businesses
  • 00:25:20 - The Secret to Aligning Teams for Maximum Growth
  • 00:27:13 - Why Most Agencies Won’t Survive the Next Marketing Shift
  • 00:28:02 - The Role Agencies Should Play in Growing Your Business
  • 00:29:41 - The Future of Marketing Metrics: What You Need to Track Now
  • 00:33:13 - Real-World Case Studies: How to Fix Your Marketing Measurement Today
  • 00:43:45 - Final Takeaways and What’s Coming Next

LINKS AND RESOURCES:

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Mentioned in this episode:

Tier 11 Data Suite

AppSumo - 13% off with code traffic13

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About the Podcast

Perpetual Traffic
Helping marketing directors and CMOs master paid traffic and conversions!
Perpetual Traffic is a twice weekly podcast that shares cutting-edge strategies on acquiring leads and sales for your business. The show is produced by Tier 11 and hosted by Ralph Burns and Lauren Petrullo. Traffic is the act of putting your product, service, or message in front of your target audience…it’s the act of acquiring customers online while also building goodwill, and is the lifeline of any business. So, whether you’re a media buyer yet to create your first Facebook or Instagram ad, a Director of Marketing or CMO managing a team of marketing specialists, or a CEO growing your business on your own, you’ll discover actionable strategies that can be applied today. Perpetual Traffic combines the traffic strategies developed at Tier 11 with the real-life agency experience of the hosts. Listen to real stories of business owners and marketing executives just like you how they overcame struggles with digital marketing and online advertising. Learn how to make Facebook advertising, Instagram advertising, YouTube advertising, Twitter advertising, Google AdWords advertising, LinkedIn advertising, (and more) work for your business.

About your host

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Kasim Aslam