XBKit·Universal

Ad ROAS Calculator

Calculate ROAS, ACoS, and true ad profitability for any ad platform — TikTok, Meta, Google, and more.

Campaign Metrics
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Benchmarks

Minimum ROAS to cover ad spend: 1.0×

Healthy ROAS for e-commerce: 3× – 5×

Strong ROAS for most categories: 5×+

Formula
ROAS=Revenue ÷ Ad Spend
  • ACoS % = Ad Spend ÷ Revenue × 100
  • Break-even ROAS = 1 ÷ Gross Margin
  • Minimum ROAS1.0×
  • Healthy e-commerce ROAS3× – 5×

How to Use

  1. 1

    Enter ad spend

    Input the total amount spent on advertising for the period you want to analyze (daily, weekly, or monthly).

  2. 2

    Enter revenue from ads

    Input the revenue attributed to that ad spend. For Amazon, use the "Sales" column from your campaign report. For Meta/TikTok, use "Purchase Revenue" from ad manager.

  3. 3

    Add product cost for true profitability

    Enter your COGS (cost of goods) and other costs to see whether your ads are actually profitable after product cost — not just ROAS-positive.

  4. 4

    Interpret your results

    Review ROAS, ACoS, and whether the campaign generates net profit. A ROAS of 3× means $3 revenue per $1 spent — but profitability depends on your margins.

Frequently Asked Questions

What is ROAS and what is a good ROAS?

ROAS (Return on Ad Spend) = Revenue ÷ Ad Spend. A 3× ROAS means you earned $3 for every $1 spent on ads. What's 'good' depends on your margins — a product with 70% gross margin can profit at 2× ROAS; a 30% margin product needs 4× or higher to be profitable after product cost.

What is ACoS and how is it different from ROAS?

ACoS (Advertising Cost of Sales) = Ad Spend ÷ Revenue × 100%. It is the inverse of ROAS expressed as a percentage. Amazon uses ACoS; most other platforms use ROAS. ACoS of 20% = 5× ROAS. Your break-even ACoS equals your gross margin — below that, you're profitable.

What ROAS should I target on TikTok Shop?

TikTok Shop is a conversion-heavy platform — target at least 2–3× ROAS for established products. For new product launches with high customer acquisition cost, 1.5× may be acceptable if lifetime value (LTV) is high. Always calculate true profitability including product cost, not just ROAS.

Should I include all platform fees in my ROAS calculation?

For true profitability, yes. Amazon advertising ROAS is commonly calculated including only ad spend, but your actual profitability depends on all costs: COGS, FBA fees, referral fees, returns, and ads together. Use this calculator with the FBA Profit Calculator for a complete picture.

Related Tools

Amazon ACoS CalculatorAmazon PPC CalculatorFBA Profit Calculator