E-commerce has better data than any other channel, which is exactly why stores optimise confidently toward the wrong number. A campaign with a strong return on ad spend can still lose money on every order once goods, shipping and returns are counted.
The number that matters
Revenue and ROAS are proxies. Contribution margin after cost of goods, shipping, payment fees and expected returns is the number that decides whether growth is worth having.
Product categories differ enormously here. A high-revenue line with thin margins and a high return rate can be actively harmful to scale, and reporting at campaign level will never show you that.
The feed is the campaign
For Shopping and paid social catalogue ads, the product feed does the targeting. Titles, categories, attributes, images, price and availability determine where products appear.
Feed work is unglamorous and reliably the highest-return activity in an underperforming account. Most stores have never had theirs properly examined.
The three moments where money leaks
Category pages that do not help people choose. Product pages that omit the detail that decides the purchase — sizing, compatibility, delivery timing. And checkout, where every extra field and every surprise cost sheds buyers.
Fixing these improves every channel at once, which is why we look here before increasing spend.
Retention
Acquiring a customer costs far more than selling to an existing one, and stores consistently underinvest in the second. A post-purchase sequence, a replenishment reminder for consumables, and a genuine reason to return are cheap relative to paid acquisition.
Seasonality
Most stores have concentrated peaks. Planning matters: build audiences and content before the season, not during, and never migrate platforms in the weeks before peak trading.
German market specifics
Price comparison is intense, delivery cost and time are checked before clicking, and invoice payment expectations are real. Returns rates in some categories are far higher than international benchmarks suggest, which changes the margin maths.
FAQ
What ROAS should we target?
Whatever clears your contribution margin. A generic benchmark is meaningless without your cost structure.
Should we sell on marketplaces too?
Often yes for reach, accepting lower margin and less customer relationship. It is a strategic trade, not a tactic.
How do we handle consent-driven data gaps?
Accept incomplete platform data, reconcile against your own order data, and treat platform figures as directional.