ROAS calculator
Enter ad spend and the revenue it brought in to see your ROAS, then add your gross margin to see whether the ads made money.
Enter ad spend and revenue to see your ROAS.
Everything is worked out in your browser, and nothing you type is sent anywhere.
What the result means
ROAS is the revenue each unit of ad spend brings back: a ROAS of 4.00 means every 1.00 spent returned 4.00 in sales. Revenue is not profit, though. Whether the ads paid for themselves depends on your gross margin, which is why the calculator asks for it.
The formula
ROAS = revenue from ads ÷ ad spend
A worked example
A campaign spends 2,000.00 and brings in 9,000.00, a ROAS of 4.50, or 450%. The store's gross margin is 40%, so break-even is 1 ÷ 0.40 = 2.50, and this campaign clears it. Of the revenue, 3,600.00 is gross profit; take away the ad spend and 1,600.00 is left.