Calculate Return On Ad Spend (ROAS), net profit, and your break-even ROAS — so you know whether your advertising is actually making money, not just generating revenue.
How it works
- Enter your total revenue directly generated from ads.
- Enter the ad spend used to generate that revenue.
- Optionally include Cost of Goods Sold (COGS) to calculate your exact break-even ROAS threshold.
Frequently asked questions
What is a good ROAS?
It depends on margins. A common target is 4:1 (400%), but high-margin products can be profitable at 2:1 while low-margin ones need 6:1 or more.
ROAS vs ROI — what is the difference?
ROAS measures revenue per ad dollar; ROI measures profit per dollar after all costs. ROAS can look great while ROI is negative if margins are thin.
What is break-even ROAS?
The ROAS at which ad revenue exactly covers ad spend plus product cost. Below it you lose money; above it you profit.