Ask the Experts #7 – Refunds & ROAS

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#7

YOU ASKED

What is the general best practice with refunds of purchases for Android platforms as it relates to ROAS calculations? Since they tend to be minor (less than 3% on average), we don’t take refunds into consideration. Mikka

Hello Mikka.

The first steps of the process is to analyze what is the portion out of all purchases and have flexible data infrastructure. After that, it depends on your expectations, campaign preferences and the scale of your UA investment.

For example, in the lower UA budgets, refunds are actively not taken into account in ROAS calculations, as well as campaigns targeted at ad watchers. But we still have to keep track of the number of refunds to data check its trend.

Usually, with bigger or fully released games, refunds are taken into consideration for the last few days (up to one week) and the whole data infrastructure is being processed to keep the ROAS up to date as much as possible since many decisions are made on the recent marketing results.

Viktor Baniar, Data & BI Engineer

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