How to calculate ROAS: formula, example & input checklist
Calculate return on ad spend from matching revenue and spend, interpret the result, and avoid common reporting mistakes.
8 focused guides
ROAS fundamentals
Start with the formula and its limits. Then choose the ratio that matches your question: campaign revenue efficiency, store-wide efficiency, or estimated additional sales.
A useful reading order
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ROAS vs ROI: revenue efficiency and profit are different questions
Compare ROAS with a clearly defined ROI calculation using one worked campaign, and learn which costs each measure includes.
What is a good ROAS? Find your own threshold
Judge ROAS against contribution margin, overhead, customer mix, and the purpose of a campaign instead of copying a benchmark.
ROAS percentage vs multiple: 400% means 4×
Convert ROAS between a ratio and a percentage, distinguish revenue from profit, and avoid percentage-point mistakes.
ACOS vs ROAS: formulas and conversion
Understand the reciprocal relationship between ACOS and ROAS, with worked conversions and a margin-based break-even check.
MER vs ROAS: blended and campaign returns
Calculate a clearly defined blended revenue-to-spend ratio and distinguish it from campaign-attributed ROAS.
Revenue per click: connect click value to ROAS
Derive revenue per click from order value and conversion rate, then compare it with click cost and contribution.
Attributed vs incremental ROAS: credit and causation
Distinguish assigned advertising revenue from estimated additional revenue and understand the role of a counterfactual.
The Best Free ROAS Calculators: An Honest Comparison
We tested 7 free ROAS calculators side by side — formulas shown, break-even, max CPA, signup walls. Honest verdicts, no sponsored picks.
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Margins & acquisition costs · Traffic & conversion metrics · Attribution & data quality · Budgets, offers & experiments