ROAS Calculator

Calculate ROAS — return on ad spend — to see how much revenue each ad dollar brings.

Revenue per dollar of ads

ROAS, return on ad spend, measures the revenue generated for each unit of currency spent on advertising. This works it out from revenue and ad spend, the core measure of whether advertising is paying for itself and by how much.

Enter the revenue and ad spend to see the ROAS.

Revenue is not profit

ROAS is essential, but the trap is treating it as profit. It compares revenue to ad spend, not to total costs — so a ROAS that looks positive can still be unprofitable once the cost of the product, fulfilment and overheads is counted. The break-even ROAS depends on your margins: a business with thin margins needs a much higher ROAS to actually profit than one with fat margins. So the useful question is not just whether ROAS is above one, but whether it clears the level your margins require. Read with that in mind, ROAS tells you whether ad spending is genuinely building the business or quietly draining it.

Common questions

What is the difference between ROAS and profit?

ROAS compares revenue to ad spend only, not total costs. A positive-looking ROAS can still be unprofitable once product and overhead costs are counted.

What ROAS do I need to break even?

It depends on your margins — thin margins need a much higher ROAS to profit than fat ones, so compare ROAS to the level your margins require.

Is anything uploaded?

No. The calculation happens in your browser.

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