ROAS Calculator

Return on ad spend, and whether the campaign actually made money.

ROAS

—

Break-even ROAS
—
Profit after ads
—
How this was calculated

Runs in your browser. Nothing you type is sent anywhere.

About the ROAS Calculator

ROAS Calculator shows your return on ad spend: revenue earned for each dollar spent on ads. It also shows your break-even ROAS, the return you need just to cover product costs and ad spend, and the actual profit after ads.

A ROAS that looks good can still lose money if your margin is thin. That's why the break-even figure matters.

How to use it

  1. Enter your ad spend.
  2. Enter the revenue those ads brought in.
  3. Enter your gross margin: the share of revenue left after product costs.
  4. Compare ROAS with break-even ROAS, and check the profit.

Example

$1,000 of ads bringing in $4,000 of revenue is a 4× ROAS. At a 40% margin, break-even ROAS is 2.5×, so the campaign made $600.00 profit after ads.

Questions

How is break-even ROAS calculated?

1 ÷ margin. At a 40% margin, you need 2.5× just to cover product costs and ad spend.

What's a good ROAS?

Anything above your break-even ROAS is profitable. The higher above it, the more room you have to scale.

Does profit include other costs?

It covers product costs (through margin) and ad spend. Overheads like rent or staff aren't included.