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    Why your ROAS target is killing your growth

    You're optimizing for a number nobody can explain. And it's costing you more than you think.

    2026-04-10·Fabian Staal
    Why your ROAS target is killing your growth

    Summary

    • 1Problem: ROAS is treated as truth, while it's an assumption
    • 2Brand ads: €10K-€20K/month on your own brand name with extreme ROAS - but you're buying back your own customers
    • 3We don't advertise on our own brand name (ETQ, TOV)
    • 4Freed budget goes to generic terms and new customers
    • 5ROAS targets lead to remarketing focus and growth stagnation

    The problem

    "We're targeting a ROAS of 10." But why, exactly? In almost every account we audit, we see the same thing. A ROAS target that was set somewhere at some point. Nobody knows why that number was chosen. But everything has to meet it. ROAS is treated as truth. While it's actually an assumption. And that assumption is costing you more than you think.

    Sound familiar?

    This is what we see at almost every brand before we start:

    • You have a ROAS target but nobody can explain why
    • A large part of your budget goes to brand name ads
    • Your ROAS looks good but your growth stagnates
    • You mainly advertise on own brand and remarketing
    • You don't dare move budget to generic terms
    • Your agency optimizes for ROAS instead of growth

    What goes wrong

    • Spending €10K-€20K per month advertising on your own brand name
    • Using ROAS as the only KPI
    • Buying back your own customers via branded search
    • Shifting budget to remarketing for easy conversions
    • Avoiding generic terms because ROAS is lower there
    • Optimizing for numbers instead of growth
    • Letting fear determine where your budget goes

    Approach

    No loose actions, but a system that delivers structural results.

    01

    Eliminate brand ads

    We don't advertise on our own brand name. Not for ETQ Amsterdam. Not for TOV Essentials. It's like Google standing in front of your store saying: you can come in, but pay first. Of course your ROAS is high on brand. You're buying back your own customers. They were already on their way to you. Yes, sometimes you lose a customer. But that doesn't outweigh what you gain.

    • Fully stop or minimize brand ads
    • Free up budget for generic growth
    • Measure what actually changes in total revenue
    • Replace fear with data
    02

    Budget to new customers

    Freed budget goes to generic search terms. 'Men's sneakers.' 'Gold jewelry.' That's where the people who don't know your brand yet are. That's where your real growth is. Not in buying back existing customers. But in winning new ones.

    • Invest in generic search terms with high intent
    • Acquire new customers instead of buying back existing ones
    • Scalability over short-term ROAS
    • Long-term growth as primary KPI
    03

    Let go of ROAS targets

    In Meta Ads we see the same pattern. ROAS targets lead to agency behavior: budget to remarketing, low funnel, easy conversions. ROAS looks good. Growth stalls. You're optimizing for numbers. Not for growth. The real question isn't 'what's our ROAS?' But: where does our growth come from? Where do we buy new customers? Where are we leaving money on the table?

    • Use ROAS as indicator, not as target
    • Shift focus to new customers and scalability
    • Measure total growth instead of channel ROAS
    • Look critically at where your budget actually goes

    Result

    We don't play political games. We say what we see. Even when it's uncomfortable. Even when it goes against your current strategy. Because your ROAS target is not your growth target.

    €10-20K

    Typical brand ads budget per month (wasted)

    0

    Budget we spend on our own brand name

    100%

    To generic growth and new customers

    €24M+

    Revenue own brands without brand ads

    What this means for you

    If someone searches for your brand and still buys elsewhere, they probably weren't your customer anyway. But the customer searching 'men's sneakers' or 'gold jewelry'? They are. If you find them.

    • You're spending €50K+ per month on ads
    • A large part goes to brand ads with high ROAS
    • Your growth stagnates despite 'good' ROAS
    • You don't dare move budget
    • Your agency optimizes for ROAS instead of growth
    • You want an honest conversation about where your money goes

    Who we are

    We build brands ourselves. And use that knowledge to scale others.

    This isn't theory. This is execution experience. We run multiple brands ourselves - and apply the exact same systems for our clients.

    We build and scale our own brands

    Results across industries - from fashion to real estate

    We deploy the same systems for clients

    Small team, big impact - no overhead

    Dion
    Enrico

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