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Quick answer: A return on ad spend (ROAS) above 2x usually means a campaign is still profitable once product costs are included. Enter your numbers below to check your real return.
How to use it
Enter your total ad spend, the revenue it generated, and the product cost of goods sold for those sales. The result updates as you type.
What this tool checks
- ROAS — revenue divided by ad spend
- ROI — return once product cost is factored in
- Profit after ad spend — what’s actually left over
How to read your result
A ROAS under 2x is break-even territory once product cost is factored in — thin, but not necessarily bad while you’re still testing. Above 2x generally leaves real profit after costs. If your profit after ad spend is negative, the campaign is costing you money, not making it.
FAQ
What's a good ROAS for a new store?
It depends on your margin, but many stores aim for at least 2x to 3x to leave real profit after product cost and overhead.
Does ROAS already account for product cost?
No. ROAS is revenue divided by ad spend only. That’s why this tool also shows ROI and profit after ad spend, which do account for it.
Why would a campaign have a high ROAS but low profit?
A high ROAS with thin margins can still leave little real profit — always check profit after ad spend alongside the ratio, not instead of it.