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ROAS & Break-even Ad Spend Calculator

Find the lowest ROAS where your ads stop losing money, and the most you can pay to get one order. You can also check a real campaign.

Your product

SAR
SAR
%

Percent of the price. Leave blank if none.

SAR

Optional

%

Percent of sales, for example 10. Shows the ROAS you need.

SAR
SAR

Fill both campaign boxes to see its real ROAS and profit.

Result

Enter the price and cost to see the break-even ROAS.

Good to know

ROAS = sales from ads ÷ ad spend. Break-even ROAS = 1 ÷ the share of the price left after product cost, fees and other costs. Check whether your ad platform figure includes VAT. If it does, divide it by 1.15 before comparing it with the break-even ROAS. Returns, refunds and repeat purchases are not included.

Frequently asked questions

What is ROAS?

Return on ad spend: the sales your ads bring divided by what you spent on them. If you spend 1,000 and get 3,000 in sales, ROAS is 3.

What is break-even ROAS?

It is the lowest ROAS at which your ads pay for themselves. It equals 1 divided by the share of the price that is left after the product cost, fees and other costs.

Why is a ROAS of 3 not always good?

ROAS looks at sales, not profit. If only 25% of the price is left after costs, you need a ROAS of 4 just to break even, so a ROAS of 3 loses money.

What is break-even CPA?

It is the most you can pay in ads to win one order without losing money. It equals the money left per order before ads.

Why is the price entered without VAT?

VAT you collect is not your income. Using the price without VAT keeps ROAS and profit honest. Use the same basis for the sales you enter from your ad platform: check whether your platform figure includes VAT; if it does, divide it by 1.15 before comparing it with the break-even ROAS.

Does it include returns and repeat customers?

No. Returns lower your real profit, and customers who buy again raise it. Use the COD Return-rate and CAC & LTV calculators to look at those.