The Life Starter
0 of 6 complete0%
Course Library · Lesson 3 of 6
Money · Guided lesson

Compare channel economics

About 28 minutes · 6 reading + 22 practice and checks
Time includes reading, practice, and questions. Extra videos or further study are optional.
See this course’s project requirements

A marketing analysis brief with a measurement card, campaign labels, channel economics, funnel review, attribution check and capped test plan.

Keep your working files in your own notebook or software. Save a private description, checklist, and work link in My Proof.

What to include

  • A measurement card with an explicit counting rule.
  • A campaign-link naming guide and mock tagged URL. A channel comparison separating ROAS, cost per order and contribution.
  • A funnel analysis and one testable investigation.
  • A deduplicated order total and an attribution note.
  • A marketing decision brief with a capped test and success rule.

Review and revise

Use these criteria to check your work and choose what to improve.

  • Calculations reconcile to the supplied records, with units and dates labeled.
  • Assumptions and missing information are visible, including the changed scenario.
  • The recommendation follows the evidence and explains an important limitation.
  • The six lesson outputs form a usable handoff that another learner can check.
Open the full course project
Want more background?
Before you begin

The idea in everyday life

Lantern data: each order brings $50 revenue and costs $25 to produce and fulfill. Fixed costs and tax are excluded. All values are fictional.

The idea

Revenue per advertising dollar differs from profit. Include the cost of supplying the order.

Follow along

Compare channel economics — worked practice

Revenue per advertising dollar differs from profit. Include the cost of supplying the order.

Lantern data: each order brings $50 revenue and costs $25 to produce and fulfill. Fixed costs and tax are excluded. All values are fictional.

Compare channel economics records

Paste at A1.

AChannelBVisitsCOrdersDAd cost
A50020200
B40016120
C2001040

Copy as plain text
  1. 1. Compute cost per order

    Divide ad cost by completed orders.

    You should see: A $10; B $7.50; C $4.

    This compares acquisition cost.

  2. 2. Compute revenue

    Multiply orders by $50 and divide by ad cost for ROAS.

    You should see: Revenue A $1000, B $800, C $500; ROAS 5, 6.67 and 12.5.

    ROAS does not subtract production costs.

  3. 3. Compute contribution

    Multiply orders by $25 then subtract ad cost.

    You should see: A $300; B $280; C $210.

    The largest ratio does not imply largest total contribution.

  4. 4. Explain comparison

    Record both efficiency and total contribution.

    You should see: C is most efficient in this case; A contributes most dollars.

    Choose metrics that match the business question.

Now change one thing

Five orders earn $40 each, cost $20 each to fulfill, and ads cost $30. Enter contribution after these costs.

Your work

What to finish

A channel comparison separating ROAS, cost per order and contribution.

Common mistake

Watch for this

Calling ROAS a profit margin.

How can I tell I understand it?

Explain your calculation or classification and reproduce the changed case without copying the worked result.

Try 3 questions

Quick knowledge check

Answer all 3 questions. Get at least 2 right and the lesson completes automatically.

Not yet passed

You’ll get an explanation for each answer. Signed in? Your results save to your account.

1Ad cost is 90 and completed orders are 15. Cost per order is?
2Revenue is 600 and advertising cost 200. ROAS is?
3Revenue 1000, product/fulfillment costs 600 and ads 150 leave contribution of?
0 of 3 answeredApply the lesson to a short question, then review the explanation.
3
Finish this lesson

Pass the check. We’ll save the progress.

Answer all 3 questions above and get at least 2 right. You can review the explanations and try again.

Go to the knowledge check
Optional course overview video · same video as Lesson 1
Google AnalyticsHow to set up Google Analytics 4 (GA4) with Google Tag Manager (GTM)YouTube
Optional course overview

How to set up Google Analytics 4 (GA4) with Google Tag Manager (GTM)

From Google Analytics. Watch here or open it on YouTube .

Optional course overview. Follow the written steps below at your own pace.
Tools, templates, and lesson sources

Tools and templates

Tools open in a new tab so you can keep your place here.

Sources and further reading

Explore the references behind this lesson.

About return on investment
Source & access notes · checked 2026-09-12

Inspected conversion value, costs and ROI distinctions.

Access: Public page inspected without a sign-in; linked services may have separate requirements.

Reuse: Link to the original. Free reading does not imply permission to reproduce the page; lessons and fixtures here are original.

Report a problem with this lesson

Tell us what went wrong. Please leave out personal information and private project contents.

No sign-in needed.