Business calculators
ROAS Calculator
See how much advertising revenue was generated for each unit of ad spend. Your inputs stay in this browser.
Live calculator
Enter your numbers
What this calculator measures
ROAS answers how much attributed revenue came back per dollar of ad spend. Use it to compare campaigns or weeks inside one measurement setup — not to decide whether the business made money. Product cost, refunds, agency fees, and overhead never enter the ratio.
The metric is misleading when the numerator is not cash you can spend, or when last week's conversions are credited to this week's budget. A 4.1x on $3,200 can be $13,120 of platform-attributed sales that include view-through and branded search you would have received anyway. It is also misleading as a scale signal. Last week's 4.1x does not describe the next $6,400 if CPC rises and conversion rate falls.
The common manual mistake is to divide shop-wide revenue by ad spend. That inflates ROAS whenever organic, email, or wholesale sales land in the same month. The other frequent error is to treat 4x as 300% ROI. ROAS is revenue over spend. ROI is net profit over investment. A 4x ROAS with a 25% contribution margin is a break-even-ish ad result, not a 300% profit.
Mira spent $3,200 on search for an $89 course and the account showed $13,120 attributed. ROAS is 4.1x. After refunds, fees, and fulfillment, about 62% of revenue remains before ads, so advertising has to clear about 1.61x just to cover itself. The 4.1x clears that bar on last week's auctions. When she tested a $960 increment, incremental ROAS fell to 0.74x. Scaling the 4.1x would have bought the 0.74x. The calculator will show either week. It will not warn you that you blended them.
Formula
Inputs and variables
- Revenue from ads
- Enter the money amount used by this formula.
- Ad spend
- Enter the money amount used by this formula.
How to use the calculator
- Choose a display currency when money fields are present.
- Enter values that cover the same period, scope, and currency.
- Review the result, formula, and worked example before using the estimate in a decision.
- Change one assumption at a time to understand what drives the result.
Worked example
- 1Mira's campaign is attributed $13,120 from $3,200 spend.
- 2$13,120 / $3,200 = 4.1, shown as 4.1:1 and 4.1x.
- 3A $960 increment that produced $712 of sales is 0.74x — the number that should decide a scale-up.
How to interpret the result
Read ROAS against a contribution break-even (1 ÷ margin before ads), on incremental spend, and inside one attribution window. A high multiple is not profit. A modest multiple can be worth scaling if it still clears that bar on the next dollar.
Common mistakes and limits
- Dividing total shop revenue by ad spend instead of attributed revenue.
- Treating ROAS as ROI or as cash profit.
- Scaling on a blended week that includes leftover conversions from last week.
- Comparing two platforms that use different attribution windows as if the multiples were the same unit.
Frequently asked questions
Is 4x ROAS good enough to scale a campaign?
Only if the next dollar still clears your contribution break-even and the click path has not gotten more expensive. A 4x on last week can hide a 0.7x increment. Recalculate on the extra spend only, after refunds have had time to land.
How do I find break-even ROAS?
If 40% of revenue remains after non-ad variable costs, you need about 1 ÷ 0.40 = 2.5x just to cover ad spend. Fixed overhead, refunds, and agency fees push the operating target higher. The formula is a floor, not a goal.
Why is my Google ROAS different from my shop's ROAS?
Platforms disagree on windows, view-through credit, and which conversions count. Your shop number should use revenue you can tie to the campaign and the same dates as the spend. If they diverge a lot, believe the cash reconciliation and treat the platform figure as a ranking tool inside that platform.
Does a high ROAS mean the campaign is profitable?
Not by itself. ROAS ignores product cost, fulfillment, and refunds. A 5x campaign on a 15% contribution product can lose money. Pair the multiple with contribution, or run ROI on net profit over the full campaign cost.
Should I include branded search in ROAS?
Include it if you want to know what the account reported. Exclude it — or split it — if the decision is whether extra spend on non-brand is working. Branded queries you would have received anyway make every scale decision look cheaper than it is.