Tools / ADS
Break-even ROAS Calculator
ROAS is revenue ÷ ad spend. Below break-even, every sale your ads bring in loses money. Know your number before you scale a campaign.
ABOUT THIS TOOL
Most stores scale ad spend without knowing the return they actually need to break even — and quietly lose money on every "successful" campaign. This free break-even ROAS calculator uses your average order value and gross margin to show the exact ROAS your ads must clear to be profitable, the ROAS you need to hit a target profit, and the most you can pay to acquire one order. Set your targets from math, not hope.
How to use it
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01
Enter your average order value
What a typical order is worth.
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02
Enter your gross margin
Your margin before ad spend — the room ads have to work in.
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03
Set a target profit
The share of ad-driven revenue you want to keep as profit.
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04
Read your ROAS targets
Break-even ROAS, target ROAS, and your maximum cost per order — instantly.
What people use it for
- Setting a target ROAS before launching a campaign
- Deciding whether a channel is actually profitable
- Briefing an agency or media buyer with a real number
- Knowing your maximum cost per acquisition
The E-Commerce
Growth Playbook
17 moves that turn a store into a revenue machine — the exact levers our team pulls for the brands we build and grow.
- Convert more of the traffic you already pay for
- Speed wins that lift revenue on every visit
- Retention flows that make the second sale cheaper
- Ad math so you scale in profit, not blind
Enjoy the playbook!
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Frequently Asked
Questions
Common questions about this free tool.
What's a "good" ROAS?
There's no universal number — it depends entirely on your margin. A 2.0 ROAS is great at 70% margin and a loss at 40%. That's exactly why you calculate break-even first.
How do I improve my ROAS?
Lift conversion rate and average order value so each click is worth more. Our free E-commerce Growth Playbook covers both, and we build stores tuned to convert.
Where do I find my gross margin?
It's revenue minus cost of goods, as a percentage. The Shopify Profit Calculator works it out per product if you're not sure.
Current store performance