ROAS Calculator
Calculate return on ad spend from revenue and ad cost, shown as a ratio and a percentage.
How it works
ROAS answers a blunt question: for every dollar spent on ads, how many came back as revenue? It is simply revenue divided by ad spend, and it is the fastest gut-check on whether a campaign works.
A ROAS of 4, or 400 percent, means four dollars of revenue per dollar spent. Whether that is good depends on your margins — a thin-margin business needs a much higher ROAS to actually profit.
Enter your revenue and ad spend and the tool shows both the ratio and the percentage, so you can compare campaigns or set a break-even target with confidence.
Frequently asked questions
What is a good ROAS?
It depends on your profit margin. A common rough target is 4:1, but low-margin businesses need more and high-margin ones can thrive on less. Compare ROAS to your break-even point.
How is ROAS different from ROI?
ROAS compares revenue to ad spend only, while ROI compares profit to total cost. ROAS is higher and simpler; ROI tells you whether you actually made money.
What ROAS means I am breaking even?
Your break-even ROAS is one divided by your profit margin. At a 25 percent margin, you break even at a ROAS of 4, so anything above that is profit.