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ROAS calculator: return on ad spend, ACOS and profit after ads
· Nolyn research team
Enter the sales your ads brought in and what you spent on them to get your ROAS as a multiple and a percentage, the matching ACOS and the cost per order. Add your profit margin before ad spend to see whether the campaign makes money and the break-even ROAS it has to beat. Works for Amazon Sponsored Products, TikTok Shop, Shopee, Google Shopping and Meta campaigns alike. Everything runs in your browser: nothing is sent.
How do you calculate ROAS?
ROAS = revenue from ads ÷ ad spend. $5,000 in sales from $1,250 of ads is a ROAS of 4 (4x, or 400% the way Google Ads writes target ROAS), an ACOS of 25% and $10 per order over 125 orders. ROAS is not profit: with a 40% margin before ads, the campaign keeps $750 after ad spend, and anything below a ROAS of 2.5 loses money. Formula as defined by Google Ads and Amazon Ads, checked 2026-10-23.
Calculate your ROAS
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Sales your ad platform attributes to the campaign over the period (attributed sales, conversion value).
What you paid for the ads over the same period.
Optional. Used for the cost per order (CPA). Leave 0 if you don't know.
What's left of the price after product cost, shipping and marketplace fees, before ads. Not sure? Work it out in the break-even ROAS calculator.
- ROAS (revenue ÷ ad spend)
- 4x
- ROAS as a percentage
- 400%
- ACOS (ad spend ÷ revenue)
- 25%
- Cost per order (CPA)
- $10.00
- Break-even ROAS for your margin
- 2.5x
- Profit after ad spend
- $750.00
This ROAS is above break-even: the campaign pays for itself and leaves the profit shown. Check that the sales would not have happened without the ads before scaling.
ROAS is fine? Check the product before you scale
More ad spend only pays if the product can keep selling at your price. Nolyn's product validation checks live Amazon and TikTok data for competition, “bought in past month” labels and review complaints, and gives a go, caution or no-go verdict. Sign-in required; new accounts get 100 credits.
The ROAS formula, and how it relates to ACOS
ROAS (return on ad spend) = revenue from ads ÷ ad spend. A ROAS of 4 means $4 in sales for every $1 of ads. Google Ads writes the same number as a percentage: $5 in sales for $1 in ad spend is a 500% target ROAS. Most other ad managers show it as a multiple (5x or 5.0).
ACOS (advertising cost of sales), the number Amazon Ads reports, is the inverse: ad spend ÷ revenue × 100. A ROAS of 4 is an ACOS of 25%; a ROAS of 2 is an ACOS of 50%. Lower ACOS and higher ROAS mean the same thing.
Cost per order (CPA) = ad spend ÷ orders. It is the easiest number to compare with the profit you make on one unit: if an order costs more in ads than the product earns, the campaign loses money however high the revenue looks.
What is a good ROAS? It depends on your margin
There is no universal good ROAS. A campaign breaks even when ad spend equals the margin on the sales it brings, so break-even ROAS = 1 ÷ profit margin before ads. A product with a 50% margin breaks even at a ROAS of 2; one with a 20% margin needs 5. The table also shows the ROAS that leaves 10% of revenue as profit after ad spend, 1 ÷ (margin − 10%).
| Margin before ads | Break-even ROAS | Break-even ACOS | ROAS for 10% profit after ads |
|---|---|---|---|
| 20% | 5 | 20% | 10 |
| 25% | 4 | 25% | 6.67 |
| 30% | 3.33 | 30% | 5 |
| 40% | 2.5 | 40% | 3.33 |
| 50% | 2 | 50% | 2.5 |
| 60% | 1.67 | 60% | 2 |
Break-even ROAS = 1 ÷ margin; break-even ACOS equals the margin (Amazon Ads: your ACOS needs to be lower than your profit margin to keep a profit).
Where a high ROAS still loses money
Thin margins. The same ROAS of 4 that leaves $750 on $5,000 of sales at a 40% margin loses $250 at a 20% margin, where break-even is 5. Compare ROAS with your own break-even, not with someone else's benchmark.
Attributed is not incremental. Ad platforms count sales that would have happened anyway, such as shoppers who searched your brand name. A branded campaign with a ROAS of 10 can add little; a prospecting campaign at 3 can bring all-new buyers.
Different windows, different numbers. Each platform credits sales over its own attribution window and with its own definition of revenue (with or without shipping, tax, returns). Compare a campaign with itself over time, and check total store sales against total ad spend as well.
How to calculate ROAS
Take revenue and spend from your ad manager
Use the attributed sales and the ad spend for the same campaign and the same period.
Divide revenue by spend
That is your ROAS as a multiple; multiply by 100 for the percentage Google Ads uses, or invert it for Amazon's ACOS.
Add orders for CPA
Ad spend ÷ orders shows what one order costs you in ads.
Compare with your break-even ROAS
Enter your margin before ads: above 1 ÷ margin the campaign makes money, below it loses.
Questions
What is the ROAS formula?
ROAS = revenue attributed to ads ÷ ad spend. $2,000 in sales from $500 of ads is a ROAS of 4, or 400%.
Is ROAS a percentage or a ratio?
Both, it's the same number. Google Ads uses a percentage (500% target ROAS); most dashboards show a multiple (5x). Multiply the ratio by 100 for the percentage.
What is the difference between ROAS and ACOS?
ACOS is ad spend ÷ revenue, the inverse of ROAS. A ROAS of 4 equals an ACOS of 25%. Amazon Ads reports ACOS; Google Ads and most other ad managers report ROAS.
What is a good ROAS for e-commerce?
Any ROAS above your break-even, which is 1 ÷ your profit margin before ads. At a 40% margin you break even at 2.5 and a ROAS of 4 is profitable; at a 20% margin 4 still loses money.
Is ROAS the same as ROI?
No. ROAS compares revenue with ad spend; ROI compares profit with what you spent. A campaign can have a ROAS of 3 and a negative ROI if your margin is below 33%.
Does this calculator save my numbers?
No. It runs entirely in your browser; nothing is sent or stored.
