Ad ROI scenario calculator
Calculate revenue, gross profit, contribution and break-even ROAS from your assumptions.
Enter the information you can verify.
Scenario estimates, not a forecast. Margin should account for variable product, fulfilment, payment and return costs before advertising. Fixed overhead is not included.
How to use the ad ROI scenario calculator
- Enter the ad budget you plan to spend and your average cost per click.
- Add your website conversion rate and average order value. Use real numbers from your analytics if you have them.
- Enter your contribution margin before ads: what you keep after product, fulfilment, payment and return costs.
- Press Calculate scenario to see expected orders, revenue, profit after ads and your break-even ROAS.
Why it matters
Ads dashboards report ROAS, but they don’t know your costs. This calculator shows whether a campaign can make money at all, before you spend. Try a few scenarios, such as a lower cost per click or a higher conversion rate, to see which lever matters most for your business.
Frequently asked questions
What is a good ROAS?
There is no single good ROAS. A campaign is profitable when its ROAS is above your break-even ROAS, which is your revenue per order divided by your profit per order before ads. A product with high margins can be profitable at a lower ROAS than a product with thin margins.
How do I calculate break-even ROAS?
Divide 100 by your contribution margin percentage. For example, a 40% margin gives a break-even ROAS of 100 ÷ 40 = 2.5. Below 2.5, every ad-driven sale loses money; above it, ads are profitable.
Does this calculator include fixed costs?
No. It uses your contribution margin, so rent, salaries and other fixed overheads are not included. Treat the result as a scenario estimate, not a forecast.
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