Our ROAS looks good but profit doesn't

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December 17, 2025

Problem

Problem

gets worse. The numbers say it's working, but the bank account says otherwise. This disconnect creates tension between marketing, finance, and leadership. Everyone's right in their own data, but the system as a whole is bleeding.

Insight

A strong ROAS doesn't always mean profitable growth. Most tracking setups measure efficiency in isolation, not in context of true business economics. They stop at revenue, not contribution margin. Discounts, fulfillment costs, CAC lag, and customer churn are rarely factored in. So you end up optimizing for the wrong win condition-ads that drive short-term returns but erode long-term profit. The deeper truth is that ROAS can be gamed. It rewards the easiest conversions, not the most valuable ones. It can hide dependence on unsustainable audiences or discount-driven spikes. Profit erosion usually starts when marketing success isn't tied to unit economics, retention quality, and payback cycles. Until these are connected, you're scaling vanity, not value.

How Velocity Approaches It

We rebuild performance analysis from the bottom up. That means connecting marketing data to real financial metrics-CAC payback, LTV, contribution margin, and retention quality. We identify where ROAS is inflated by unprofitable segments or short-term tactics, then recalibrate campaigns toward sustainable revenue. Our goal isn't to make your ROAS prettier. It's to make it real . We unify finance, product, and marketing data so every growth decision is judged by business impact, not platform metrics. If you want to know where the profit is disappearing, we'll help you see what your dashboards can't.

Ready to scale profitably?

Let's discuss how to unlock sustainable growth without sacrificing unit economics.