Free Tool
ROAS Calculator
Calculate your Return on Ad Spend instantly. Measure how effectively your advertising dollars generate revenue.
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What is ROAS?
Return on Ad Spend (ROAS) is a marketing metric that measures the revenue earned for every dollar spent on advertising. It helps marketers evaluate the effectiveness of their digital advertising campaigns and make data-driven decisions about budget allocation.
How to Calculate ROAS
The ROAS formula is simple:
ROAS = Revenue from Ads / Cost of AdsFor example, if you spent $1,000 on ads and generated $4,000 in revenue, your ROAS would be 4x or 400%.
What is a Good ROAS?
Below 1x
Losing money on ads
1x - 3x
Breaking even to moderate
3x+
Strong performance
Industry Benchmarks
- E-commerce: 4:1 average ROAS
- Lead Generation: 5:1 average ROAS
- Brand Awareness: 2:1 to 3:1 ROAS
- High-margin products: Can be profitable at 2:1