ROAS Calculator
Return on ad spend against the line that matters.
ROAS
3.50×
break-even is 2.38×
Above break-even by 1.12×, producing $1,880 of profit. A comfortable margin over break-even with flat volume usually means you are under-spending — the headroom is worth using.
How the ROAS Calculator works
ROAS on its own says nothing. A 3× return is excellent on a 60% margin product and ruinous on a 20% one — the number only becomes meaningful against break-even ROAS, which is set by your contribution margin and not by the ad platform.
Not financial advice. Marketplace fees change, and they vary by country, plan and seller status. Every rate here is an editable default, not a quoted price — check the platform's current fee schedule before you price a product against it. This is not tax or business advice.
Frequently asked questions
How do I calculate ROAS?
Revenue attributed to advertising divided by the spend that produced it. A £4,000 spend returning £14,000 is 3.5×.
What is a good ROAS?
Anything above one divided by your contribution margin. At 42% contribution, break-even is 2.38× — so 3.5× is comfortably profitable and 2× is a loss.
Should I always maximise ROAS?
No. A very high ROAS with flat volume usually means you are under-spending, winning only the cheapest clicks. The goal is total profit, and that frequently means accepting a lower ROAS on more spend.
Why does reported ROAS overstate results?
Because each platform credits itself for customers who saw several ads, and view-through attribution counts people who never clicked. Blended ROAS — total revenue over total spend — is the figure that reconciles to your accounts.