How ROAS is calculated
ROAS = (Revenue ÷ Ad spend) × 100
A ROAS of 100% means your ads returned exactly what you spent. Anything above that is revenue beyond your ad cost.
Free marketing tool
ROAS Calculator
Find your return on ad spend in seconds. Enter your ad revenue and cost, then add your order economics to see the exact ROAS you need to break even.
Enter your spend
Ad cost + platform fees
Add your revenue
Sales from the ad source
See your ROAS
Profitability + break-even
Your numbers
$
All sales and conversion value your ads brought in.
$
Ad spend plus platform fees and related costs.
Include break-evenCompare your ROAS with the minimum you need.
$
$
Your ROAS
Profitable312.5%
3.13x revenue for every $1 spent
Break-even
0%400%
Break-even ROAS266.7%
Net after ad cost$170,000
Margin per order37.5%
Recent calculations
How break-even is calculated
Break-even = AOV ÷ (AOV − Order cost) × 100
This is the lowest ROAS that avoids a loss once product and fulfilment costs are counted.
What is a good ROAS?
A ROAS above 100% means your ads return more than they cost. A good ROAS for your business is one that sits above your own break-even figure.
Is a high ROAS always good?
No. ROAS measures revenue, not profit. A business with thin margins can show a strong ROAS and still lose money, which is why the break-even figure matters.
What affects your ROAS?
Audience targeting, keyword intent, cost per click and landing page quality have the largest effect on what each ad dollar earns.
How can you improve it?
Target long-tail keywords, tighten audiences, test landing pages, and raise average order value through bundles and upsells.
Frequently Asked Questions
Quick answers about return on ad spend and how to use this calculator.
ROAS = (Revenue from ads ÷ Ad spend) × 100. For example, if you spent $80,000 and generated $250,000 in revenue, your ROAS is 312.5%.
A ROAS above 100% means your ads return more than they cost. A truly good ROAS sits above your own break-even figure, which depends on your product costs and margins.
Break-even ROAS = Average Order Value ÷ (Average Order Value − Order Cost) × 100. This is the minimum ROAS you need so that ad revenue covers both ad spend and product costs.
No. ROAS only measures revenue against ad spend. If your product margins are thin, you can have a high ROAS and still lose money. Always compare your ROAS against break-even.
Audience targeting, keyword intent, cost per click, landing page quality, and average order value have the biggest impact on how much revenue each ad dollar generates.
Target long-tail keywords, tighten audiences, improve landing page conversion rate, raise average order value with bundles or upsells, and pause underperforming campaigns.
Results are estimates based on the figures you enter. Saved calculations stay in this browser only.
