Using the calculator
Enter Ad spend i, Revenue attributed to ads i, Optional gross margin i, Optional additional campaign costs i. Calculate Return on Ad Spend (ROAS) from advertising revenue and ad spend to evaluate campaign efficiency.
Ads & Marketing
ROAS Calculator
Calculate return on ad spend and see how much revenue each advertising dollar produced.
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%
Used to estimate contribution after product/service cost.$
ROAS 0×
Revenue per $1 ad spend$0
Gross contribution $0
Contribution after campaign cost $0
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How to use this calculator
Reading the result
The result shows return on Ad Spend (ROAS) from advertising revenue and ad spend to evaluate campaign efficiency.
How it is calculated
ROAS is advertising attributed revenue divided by advertising spend. A value of 4 means four dollars of attributed revenue for each dollar of ad spend, before product costs, overhead, refunds, and other expenses.
Results are estimates based on the values entered. Review the Methodology and Calculator Disclaimer for important limitations.
Common questions
Is a 4.00 ROAS the same as a 300 percent profit?
No. A 4.00 ROAS means four dollars of attributed revenue for each dollar of ad spend. It does not subtract product cost, labor, fees, refunds or overhead, so it is not the same as profit margin.
Should I use total business revenue in ROAS?
Use revenue that is attributed to the advertising being measured when the goal is campaign ROAS. Mixing unrelated revenue into the numerator can make the campaign appear more efficient than the attribution data supports.
Why can ROAS improve while profit gets worse?
ROAS can rise while margin falls if discounts, product cost, fulfillment, fees or other campaign expenses increase. Read ROAS with contribution and profit measures rather than using it by itself.
Related reading
Want the context behind the numbers?
Read ROAS with CPA, CPC and conversion rate →