All tools
Break-Even ROAS Calculator
Marketing & SEO
Find the minimum return on ad spend you need to stay profitable on every sale.
Break-Even ROAS
2.08x
208%
Moderate marginGross margin
$24.00
Margin %
48.0%
Max ad cost / sale
$24.00
Formula: selling price ÷ gross margin. Any ROAS above this number is profit; below it, each sale loses money.
What is the Break-Even ROAS Calculator?
The Break-Even ROAS Calculator tells you the lowest return on ad spend at which a product still doesn't lose money. It subtracts product cost, shipping and other per-order costs from your selling price to get the gross margin, then divides the price by that margin. Any ROAS above this number is profit; below it, every sale costs you money.
How to use this tool
- Enter the product's selling price.
- Enter the cost of goods, shipping cost and any other per-order costs.
- Read your break-even ROAS and maximum ad cost per sale.
- Set your ad campaign's target ROAS above this number.
Frequently Asked Questions
Break-even ROAS = selling price ÷ gross margin, where gross margin = price − COGS − shipping − other costs. For example, a $50 product with a $20 margin needs a ROAS of 2.5 (250%).
Lower is better. Under 2 means a healthy margin that leaves room for ad testing; above 4 means thin margins and you'll need very efficient ads to profit.
Any cost tied to each order: payment processing fees, packaging, app fees per order or returns allowance.
No. Everything runs in your browser, so nothing is uploaded to a server.