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ROAS Calculator

Calculate return on ad spend, net profit after COGS, cost per conversion, and break-even ROAS for any paid advertising campaign using 2026 channel benchmarks.

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Campaign Details
ROAS Results

Enter your campaign details, then click calculate.

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What This Calculator Does

This ROAS calculator helps marketers, media buyers, and business owners measure the return on ad spend for any paid advertising campaign. It calculates your ROAS ratio, net profit after cost of goods sold, cost per conversion, effective margin, and break-even ROAS. Whether you are running Google Ads, Meta Ads, TikTok campaigns, or any other paid channel, this tool gives you a clear picture of campaign profitability using 2026 industry benchmarks.

The Formula

ROAS = Revenue Generated / Ad Spend

ROAS is expressed as a ratio. A ROAS of 4:1 means you earned $4 for every $1 spent on advertising. To determine true profitability, subtract your cost of goods sold (COGS) from revenue before comparing against ad spend. The break-even ROAS is the minimum ROAS needed to cover product costs, calculated as Revenue / (Revenue - COGS). Any ROAS above that threshold generates profit.

Step-by-Step Example

1

Enter ad spend

Input your total advertising spend for the campaign period. For example, $5,000 spent on Google Search Ads in one month.

2

Enter revenue generated

Enter the total revenue directly attributable to the campaign. For example, $20,000 in tracked sales.

3

Enter cost of goods sold

Add product or service costs (COGS) of $8,000 to calculate true profit, not just top-line revenue.

4

Review results

ROAS = $20,000 / $5,000 = 4.0x. Net profit = $20,000 - $8,000 - $5,000 = $7,000. Break-even ROAS = 1.67x. Your campaign is profitable.

Real-World Use Cases

Ecommerce Campaign Optimization

Compare ROAS across Google Shopping, Meta, and TikTok campaigns to allocate budget toward the highest-performing channels.

Agency Client Reporting

Provide clients with clear ROAS metrics that demonstrate the value of their ad spend and justify budget increases.

Budget Planning

Use break-even ROAS to set minimum performance thresholds before scaling ad spend on new campaigns or channels.

Common Mistakes to Avoid

  • Measuring ROAS based on revenue alone without accounting for COGS. A 3x ROAS on a product with 80% COGS means you are losing money.

  • Comparing ROAS across channels without normalizing for attribution windows. Google Ads and Meta Ads use different attribution models.

  • Setting a universal ROAS target across all products. High-margin products can be profitable at a lower ROAS than low-margin products.

  • Ignoring the difference between blended ROAS and channel-specific ROAS. Blended ROAS includes all revenue, not just ad-attributed revenue.

  • Not factoring in customer lifetime value. A 1.5x ROAS campaign may be profitable if repeat purchase rates are high.

Frequently Asked Questions

Accuracy and Disclaimer

This calculator provides estimates based on the data you enter. Actual ROAS depends on attribution modeling, return rates, and other factors not captured here. Use this tool for planning and benchmarking, not as a substitute for platform-specific reporting.