Two metrics dominate Amazon advertising conversations: ACOS and TACOS. They sound similar, are often used interchangeably, and are frequently misunderstood. In reality, each metric tells a very different story—and understanding how to use both is critical to running a profitable, scalable Amazon Ads program.

ROI is generally hard for local businesses to measure because the customer journey rarely happens in one clean, trackable path. Many local customers discover a business online, research across multiple channels, then convert offline through phone calls, walk-ins, or repeat visits weeks later. Privacy changes, limited budgets, and incomplete tracking tools often make it difficult to connect marketing activity directly to revenue.

Paid search is one of the fastest ways to generate leads — when done correctly. For local businesses, it captures customers who are actively looking for services right now.