Return on ad spend, or ROAS, is the revenue a clinic earns from patients brought in by ads, divided by the amount spent on those ads.
What it means
Return on ad spend (ROAS) tells you how much revenue each rupee of advertising brings back. If ads cost one rupee and patients from those ads pay three, the ROAS is three.
For clinics, the hard part is honest tracking. Ad platforms report clicks and leads, not treated patients. A useful ROAS needs revenue from patients who can be traced back to a campaign, which means your front desk and CRM must record where each patient came from.
ROAS also ignores what happens after the first bill. A campaign with a modest ROAS may bring patients who return for years. Read it alongside lifetime value, not on its own.
How to calculate it
ROAS = revenue from patients acquired through ads ÷ ad spend
Use collected revenue, not quoted plan values, and match the period carefully, because treatment often starts weeks after the first click.
For example, a clinic spends ₹50,000 on Google ads in a month. Patients from those ads pay ₹2,00,000 for treatment. ROAS = ₹2,00,000 ÷ ₹50,000 = 4.
What good looks like
HBA does not publish a ROAS benchmark, because it depends on your speciality, ticket size and how long patients stay. Higher is better, and HBA tracks it weekly alongside cost per new patient, which has a clear benchmark of 10 to 20% of first-year value.
How to improve it
- Fix conversion first. Better booking, show and consult rates lift ROAS without changing the ads.
- Record the source of every patient in your CRM so revenue can be matched to campaigns.
- Move budget towards campaigns that bring treated patients, not just cheap leads. Sharp Google search ads often catch patients with clear intent.
- Refresh creatives before fatigue sets in.
- Measure revenue over 60 to 90 days, not just the first week.
Related terms
Frequently asked questions
What is a good ROAS for clinic ads?
HBA does not set a single ROAS benchmark because it depends heavily on speciality and ticket size. A better guide is cost per new patient, which should be 10 to 20% of first-year value. If that holds and lifetime value is four to five times the cost, the ads are working.
Why does my ad platform show a different ROAS from my clinic records?
Ad platforms see clicks and form fills, not treatment payments. They cannot know who walked in, who paid and how much. Your clinic's own records, matched to lead sources in a CRM, give the real number. Treat platform ROAS as a rough signal, not the truth.
On a free growth call, my team traces your last month from enquiry to treatment and shows you your biggest leak in rupees.