Marketing Calculators

ROAS Calculator

Free ROAS calculator for return on ad spend, revenue per dollar spent, ROAS percentage, and optional break-even ROAS from gross margin.

InputsROAS calculator
Use conversion value or sales revenue attributed to the ad spend.
Use the media spend for the same campaign and date range.
Used for estimated gross profit after ad cost and break-even ROAS. Use 0 to 100.

How this tool works

ROAS compares revenue generated against the amount spent on ads. Optional gross margin adds a break-even check so revenue ROAS is not confused with profit.

Formula or template logic

roas = revenue / adSpend; roasPercentage = roas * 100; if grossMarginPercentage > 0: breakEvenRoas = 1 / (grossMarginPercentage / 100); estimatedGrossProfitAfterAds = revenue * (grossMarginPercentage / 100) - adSpend

Example use case

If revenue is 12,000 and ad spend is 3,000, ROAS is 4.0x. With a 60% gross margin, break-even ROAS is about 1.67x.

Frequently asked questions

What does ROAS mean?

ROAS means return on ad spend. It compares revenue to ad cost.

What is a good ROAS?

It depends on margins, product costs, and goals. A high ROAS can still be unprofitable if margins are low.

Is ROAS the same as profit?

No. ROAS uses revenue, not profit after costs.

What is break-even ROAS?

Break-even ROAS is the ROAS needed for gross profit to cover ad spend before other operating costs.

Why is ad spend required?

ROAS divides revenue by ad spend, so ad spend must be greater than 0.