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Break-even ROAS calculator
Find the ROAS you need before ads start making money.
Calculate ACOS from ad spend and attributed sales, convert to ROAS, and compare with a break-even ACOS.
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ACOS (Advertising Cost of Sales) is ad spend as a share of attributed sales, commonly used for Amazon ads and other performance campaigns. This page calculates ACOS from the spend and sales you enter, and also shows ROAS (sales ÷ spend). If you enter a contribution margin, it also shows a break-even ACOS so you can see whether the campaign is above the line. You can also convert ACOS to ROAS or the other way around. For a dedicated break-even ROAS calculation, use this site’s break-even ROAS calculator. This is not an ad-platform report.
ACOS = ad spend ÷ ad sales. ROAS = ad sales ÷ ad spend, which is also 1 ÷ ACOS when ACOS is a decimal. Break-even ACOS = contribution margin (for example a 30% margin implies a 30% break-even ACOS). If you have spend and a target ACOS, implied sales = spend ÷ ACOS.
They are reciprocals: ROAS = 1 ÷ ACOS and ACOS = 1 ÷ ROAS. For example 25% ACOS is 4.00x ROAS.
When ads are the incremental cost and other costs are already in contribution margin, break-even ACOS is approximately that margin. Above it, ads consume profit. For a fuller break-even advertising metric, use the break-even ROAS calculator.
Standard ACOS uses attributed ad sales. Using total store sales understates ACOS and is a poor measure of the campaign itself.
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