ROAS calculator
Free · No signup · Updated November 2026 by the DrapifyApp team
How do I calculate ROAS and break-even ROAS?
ROAS = revenue from ads ÷ ad spend. ₹20,000 of sales from ₹5,000 of ads is a 4x ROAS. Break-even ROAS = 1 ÷ gross margin: at a 35% margin you need about 2.86x just to cover the ads. Below that, every sale from ads loses money.
- ROAS
- 4.00x
- Break-even ROAS
- 2.86x
- Profit after ads
- ₹2,000
These ads are paying for themselves.
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Try one freeHow to use it
- Enter ad spend and the revenue those ads brought.
- Enter your gross margin before ad cost.
- Compare your ROAS with the break-even ROAS.
Why break-even ROAS matters
A “good” ROAS depends on your margin. A 3x ROAS is profitable at a 50% margin but loses money at a 25% margin, where break-even is 4x.
Marketplace ads
Amazon and Flipkart ads report ACoS, which is ad spend ÷ ad revenue, the inverse of ROAS. A 25% ACoS equals a 4x ROAS.
Questions
- What is a good ROAS?
- Anything above your break-even ROAS is profitable. Work that out from your margin first.
- How do I convert ACoS to ROAS?
- ROAS = 1 ÷ ACoS. An ACoS of 20% is a 5x ROAS.
- Should returns count?
- Yes. Use revenue after returns, or ads that drive high-return orders will look better than they are.
Related free tools
- Profit margin calculator: Margin and markup from cost and price, or the price for a target margin.
- Ecommerce profit calculator: Compare profit per order on Meesho, Amazon, Flipkart, Myntra and your own site.
- Meesho profit calculator: See profit per order after shipping, GST and returns, plus your break-even price.
