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ROI and ROAS calculator

ROAS tells you how much revenue each rupee of ads brought in. ROI tells you whether you actually made money once product costs and fees are taken out. This calculator shows both, plus the ROAS you need just to break even.

Result

ROAS

4.00x

ROI

7.7%

Profit after ads & costs

NPR 5,000

Gross profit

NPR 70,000

Break-even ROAS (ads only)

2.86x

Break-even incl. other costs

3.71x

This campaign is making a profit.

ROAS · ROI

4.00x · 7.7%

See details

ROAS vs ROI in plain words

ROAS (return on ad spend) is revenue ÷ ad spend. A ROAS of 4 means NPR 4 of sales for every NPR 1 on ads. It's easy to read in Meta and Google Ads, but it ignores what the products cost you.

ROI (return on investment) uses profit: (gross profit − ad spend − other costs) ÷ total costs. A campaign can show a ROAS of 3 and still lose money if your margin is thin.

Break-even ROAS by margin
Your gross marginBreak-even ROAS
20%5.0x
30%3.3x
40%2.5x
50%2.0x
70% (services, digital products)1.4x
Break-even ROAS = 1 ÷ margin. Below this, ads lose money even before agency fees.

Getting real numbers

Platform dashboards often over-count sales. Track orders and enquiries in GA4 with UTM-tagged links and compare with your own sales records. If your ROAS is below break-even, see how our Meta ads management approaches fixing it.

Questions about this tool

What is a good ROAS?

Whatever is comfortably above your break-even ROAS. For a store with 30% margin that's above 3.3x; for a service business with 70% margin, 2x can be very profitable.

Should I include agency fees and design costs?

Yes, in 'other costs'. ROI should include everything you spent to get those sales.

What about customers who buy again?

This calculator looks at one period. If customers come back, their lifetime value makes a lower first-order ROAS acceptable.

Is my data saved?

No. Everything is calculated in your browser.

Tell us what you want to fix or build

Send a few lines about your business. We reply within one working day with questions, a rough budget and a timeline. No obligation.