How to measure ROI effectively in search ads campaigns

Emily Team
Jul 23
2 min read

Measuring ROI (Return on Investment) effectively in search ads campaigns is crucial for understanding what’s working, what needs adjusting, and how to scale results. At EMILY®, we emphasize data-backed decisions — here’s how to track ROI the right way:

📊 1. Define Clear Conversion Goals First

ROI only matters if you're tracking the right outcomes.

✅ Examples of search ad conversion goals:

Form submissions
Phone calls
Appointment bookings
Purchases or donations
Newsletter sign-ups

➡️ Use Google Tag Manager to tag every key action on your website.

💰 2. Calculate ROI Formula

Use this formula to evaluate your return:

ROI (%) = [(Revenue from Ads – Cost of Ads) ÷ Cost of Ads] x 100

If your campaign generates $5,000 in sales and cost $1,000 to run:

ROI = [(5,000 – 1,000) ÷ 1,000] x 100 = 400% ROI

🔍 3. Use Conversion Tracking in Google Ads

Set up:

Standard Conversions: Track button clicks, purchases, form fills.
Call Tracking: Use Google Ads call extensions or dynamic number insertion.
Offline Conversions: Import CRM data if you close deals outside the website.

🛠 EMILY® configures these through Google Ads, GA4, and Google Tag Manager for end-to-end visibility.

📈 4. Track Micro & Macro Conversions

Not every click turns into a sale immediately. Use:

Micro conversions (e.g., content views, cart adds) to measure interest.
Macro conversions (e.g., sales, leads) to measure true ROI.

🧠 EMILY includes heatmap behavior tracking (via Microsoft Clarity) to capture qualitative data like scroll depth and hesitation areas.

⚖️ 5. Compare ROAS (Return on Ad Spend)

ROAS = Revenue ÷ Ad Spend

If you earn $4,000 from $1,000 in ads, ROAS = 4x (400%)
Use this metric to compare ad campaigns directly

📆 6. Review Results Over Time

ROI compounds — especially for services with a longer sales cycle. Track:

7-day and 30-day conversion windows
Attribution models (e.g., last click, first click, data-driven)

🔁 EMILY® runs monthly reporting sessions with clients to refine strategies based on actual ROI, not just impressions or CTR.

🛠 Tools EMILY Uses to Track ROI:

Google Analytics 4 (GA4)
Google Ads & Tag Manager
Microsoft Clarity heatmaps
Custom dashboards for leads, traffic, and conversions

🎯 Bonus Tip: Track the Source of Every Lead

Use UTM parameters and phone call tracking to identify:

Which keyword generated the lead
Which ad group had the best ROAS
What messaging delivered results

EMILY makes this data digestible — so you get clarity, not complexity.

📞 Want EMILY® to evaluate or improve the ROI of your current campaigns? Let’s audit your funnel and optimize your returns.

📅 Book a consultation: www.ermarketinggroup.com/letschat 📧 Or email: info@ermarketinggroup.com