ROAS Calculator
ROAS and ROI from ad spend and revenue, break-even ROAS from your margin, plus CPC, CPM, CPA and conversion rate
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Calculates ROAS and ROI from ad spend and ad revenue and, when you add your margin, the break-even ROAS below which ads lose money. It also works out CTR, CPC, CPM, CVR and CPA and the budget needed for a revenue target.
How to use
- On "ROAS & ROI", enter "Ad spend" and "Ad revenue" to get the ROAS. Add your "Margin" to also see "Ad profit", "ROI" and "Break-even ROAS".
- Enter a "Target ROAS" to see how much you can spend for that revenue.
- On "Ad metrics", enter only the numbers you know, such as impressions, clicks and spend. The other metrics are worked out and blanks are filled in backwards.
- On "Plan for a target", enter the "Target ad revenue", conversion rate, cost per click and average order value to get the "Ad budget needed" and "Clicks needed".
How it works
- ROAS = ad revenue ÷ ad spend × 100%. ROI = (ad revenue × margin − ad spend) ÷ ad spend × 100%. Break-even ROAS = 1 ÷ margin × 100%.
- Margin here is the share of revenue left after product cost, fees and shipping. Ad spend is then taken from it to give the ad profit.
- In the target plan, counts are rounded up. Real CPC and conversion rates change from day to day.
- Your inputs and the chosen tab are kept in this browser and come back when you open the page again.
Questions and answers
- What does a ROAS of 400% mean?
- Each 1 of ad spend brought 4 of revenue. Spending 1,000 on ads and getting 4,000 in ad revenue is a ROAS of 400%.
- How do I calculate break-even ROAS?
- Divide 1 by your margin. A 25% margin needs a ROAS of 400% to break even, and a 50% margin needs 200%. Below that, the ads lose money.
- What is the difference between ROAS and ROI?
- ROAS divides revenue by ad spend. ROI divides the profit left after margin and ad spend by the ad spend. A high ROAS can still give a negative ROI when the margin is low.
- How are CPA and CPC calculated?
- CPC is ad spend ÷ clicks and CPA is ad spend ÷ conversions. Enter spend, clicks and conversions on "Ad metrics" to see both.