Break-Even ROAS Calculator

  • The first thing to do when you get serious about advertising for your brand is to set the budget. Setting your budget right will allow you to maximise profits, whilst making sure you can scale your campaigns as big as they can. Setting a budget can be done in a number of ways, from randomly picking a spend that feels good, to taking a % of the revenue.

    • We like to set budgets based on profitability.

    • To do this, we use the calculator below.

  • Return on Ad Spend (ROAS) is a crucial metric for any e-commerce business. There are better metrics to measure overall performance, but in the ad platforms we use (Meta and Google) a ROAS target is required to set up campaigns properly.

  • We like to set a ROAS target based on profitability. Once you know how much you can spend whilst still making money, it becomes a lot easier to pick a course from there.

How this Calculator Helps You

Whether your goal is to maximize revenue, minimize ad spend, or ensure your ad campaigns are profitable, our calculator guides you in setting a baseline for your advertising efforts. By determining your break-even ROAS, you can confidently decide how much you can comfortably spend.

Clarity and Confidence

Know once and for all what your minimum ROAS should be to remain profitable.

Strategic Planning

Think through your ad campaign objectives, from maximizing potential revenue to limiting ad spend.

Informed Decisions

Base your advertising budget on solid data and trusted calculations.

The calculator will help you with

Document
Income
$
%
Expenses per Order
$
$
$
$
$
$
Taxes
(Tax to be paid on earnings minus the tax claimed back from expenses.)
CPA
(Cost Per Acquisition - This is what you can spend on one order)
Break Even ROAS
(This is the ROAS you can set in your ad platforms without losing money on a transaction)