Calculator

ROAS Calculator

ROAS connects media spend to revenue. It is the quickest way to see whether a campaign is cash-positive, break-even, or still in test mode.

Useful for e-commerce, lead gen, and subscription offers with clear revenue values.Helps compare channel efficiency against your break-even target.Pairs naturally with LTV:CAC and payback planning.
Formula

Formula

ROAS = Revenue / Ad Spend

A campaign with $18,000 in revenue and $6,000 in spend has a 3.0x ROAS. That does not automatically mean it is profitable, so compare it with margin and CAC data.

Metric Definitions

Interpreting ROAS

ROASMeaningTypical action
Below 1.0xRevenue is lower than spendPause or rework offer and audience
1.0x to break-evenRevenue roughly covers spendOptimize for efficiency
Above break-evenRevenue exceeds spendScale carefully and watch payback
Guide

What to check with ROAS

  • Gross margin, because high ROAS can still be unprofitable.
  • Attribution window, because the same campaign can report different ROAS values across platforms.
  • Incrementality, because reported ROAS is not always causal lift.
Related Pages

Key Pages

Related Pages

Related Pages

FAQ

Common Questions

What is a good ROAS?

A good ROAS depends on margin, business model, and whether the campaign is designed for acquisition or retention.

Is ROAS the same as profit?

No. Profit also depends on margin, overhead, discounts, and fulfillment costs.

Why do I need a break-even ROAS?

Because the scale point only makes sense when you know the minimum return required to stay profitable.