AD Spend ROI (ROAS) Calculator
Traffic acquisition is usually the single biggest line item for an ecommerce seller, which makes it the most important one to actually measure. This calculator takes the core numbers from any ad platform - spend, impressions, clicks, orders, and average order value - and returns click-through rate, conversion rate, cost per click, customer acquisition cost, and return on ad spend (ROAS) together in one view. Add a gross margin percentage and it also shows profit-based ROAS, a more honest number than revenue-based ROAS alone for judging whether a campaign is actually worth scaling.
Enter ad spend, impressions, clicks, orders, and average order value to get ROAS, CAC, and conversion rate in one view.
Frequently Asked Questions
How do you calculate ROAS?
Divide total revenue generated by a campaign by the total ad spend. A ROAS of 4.0x means every $1 spent on ads generated $4 in revenue.
What’s a good ROAS for e-commerce?
It varies widely by margin and industry, but many sellers target at least 3-4x revenue-based ROAS to leave room for product cost, fulfillment, and overhead. Profit-based ROAS (using this calculator’s optional margin field) gives a more accurate read on true profitability.
What’s the difference between CAC and CPC?
CPC (cost per click) is ad spend divided by clicks - what you pay for traffic. CAC (customer acquisition cost) is ad spend divided by orders - what you actually pay per paying customer, which is almost always a larger number since not every click converts.
All tools are provided for estimation purposes only and do not constitute financial, legal, or compensation advice. Always confirm figures against your company's official comp plan and pricing policy.
sales math, done in the browser.