ROAS Calculator

Divide revenue attributed to advertising by ad spend. For example, 20,000 in revenue divided by 5,000 in ad spend is 4×, or 400%. This calculator shows the ratio both before and after refunds. Use the same time period, currency and attribution basis for both inputs.

There is no universal good ROAS. Compare your return with the threshold required to cover your actual costs and leave your desired contribution. A high ROAS can still produce a loss if product costs, shipping, refunds and fees consume most of the revenue. A low-volume campaign can also show a strong ratio without being ready to scale.

Without additional costs, break-even ROAS is 1 divided by the contribution margin before advertising, written as a decimal. A 40% margin gives 1 ÷ 0.40 = 2.5×. Here we calculate the amount left from retained revenue after the non-ad costs you enter, then divide retained revenue by that amount. If nothing is left for ads, there is no finite break-even ROAS with positive ad spend.

In the per-order calculator, subtract direct costs and the contribution you want to retain from revenue after refunds. The remaining amount is the maximum ad cost per order. Divide retained revenue by that ad cost to get your target ROAS. With 100 in retained revenue, 40 in costs and a 20% margin goal, the ad allowance is 40 and the target is 2.5×. This is an economic threshold, not a promise that an ad platform can deliver it.

ROAS compares revenue with advertising spend; it does not subtract costs. ROI compares profit with the investment required, so its cost scope must be defined. This tool reports contribution after the costs you enter and advertising. It deliberately does not call that net profit or total-business ROI because unentered overhead, tax and other costs are not included.

Enter revenue after discounts and excluding VAT or sales tax. Refunds should relate to those same sales. If your source already subtracts refunds, enter zero in the refund field to avoid deducting them twice. Adjust product costs for recovered inventory and fees for any reimbursements; the calculator cannot infer which costs were recovered.

Platforms can use different attribution windows, modelled conversions, revenue values and refund adjustments. Some conversion values are not sales revenue at all. A sale may also be claimed by more than one platform, so adding their reported revenues can double-count it. Reconcile the inputs with your own sales records before comparing results or changing a bidding target.

Yes. Revenue before refunds equals ad budget multiplied by expected ROAS. The forecast then deducts your refund assumption, direct cost ratios and other campaign costs. Both cost ratios use revenue before refunds as their base. The tool does not predict demand or assume that ROAS will stay unchanged as spend increases.

Let A be retained revenue minus direct costs and other campaign costs. For A above zero and positive ad spend, the score is 40 + 80 × (1 − ad spend ÷ A), limited to 0–100 and rounded. Break-even scores 40. With positive spend and no amount left for ads, the score is 0; without ad spend, no score is shown. The bands are Very bad below 20, Bad below 40, OK below 55, Good below 70, Very good below 85 and Outstanding from 85. These are this tool’s labels, not industry benchmarks.

It is free and requires no account or email. Your inputs stay in browser memory: they are not submitted, saved to local storage or added to the page URL. The PDF is generated in your browser only when you request it. You choose whether to keep that downloaded file.