ToolDashy

ROAS Calculator

Find out how much revenue each unit of ad spend brings in. Enter revenue and ad spend for your ROAS, and add your profit margin to see the ROAS you need just to break even.

Shows the ROAS you need to break even.

ROAS = revenue ÷ ad spend. It measures revenue, not profit: a 4x ROAS can still lose money once product, shipping and other costs are taken out. ROI, by contrast, compares profit to the total investment.

4x

ROAS

400%

ROAS as a percentage

$750.00

Revenue after ad spend

Every $1 spent on ads brought in $4.00 in revenue.

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How to use roas calculator

  1. 1Enter the revenue your ads generated and pick your currency.
  2. 2Enter how much you spent on those ads.
  3. 3Optionally enter your profit margin to see your break-even ROAS.
  4. 4Read the ROAS ratio, percentage and revenue left after ad spend.

About this tool

Return on ad spend measures revenue generated per unit of advertising cost: ROAS = revenue ÷ ad spend. It's usually written as a ratio (4x or 4:1) or a percentage (400%).

Example: $1,000 of revenue from $250 of ad spend is a ROAS of 4x, or 400% — every $1 of ads brought in $4 of sales. If your profit margin is 25%, you need a ROAS of 100 ÷ 25 = 4x just to cover the ad cost, so this campaign only breaks even.

ROAS is not ROI. ROAS uses revenue and only counts ad spend, while ROI uses profit and counts all costs — products, shipping, fees, staff. A campaign with a healthy-looking ROAS can still lose money if margins are thin, which is why the break-even ROAS figure is useful. Attribution also matters: platforms may count the same sale differently.

Frequently asked questions

Divide revenue from ads by the amount spent on those ads. $2,400 revenue from $600 ad spend is a ROAS of 4x (400%).

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