FREE TOOL

Calculate your Return on Ad Spend

Enter your ad revenue and spend to instantly see your ROAS. Know if your advertising is profitable and where to invest more.

Inputs

Total revenue generated from ad campaigns
Total amount spent on advertising

Results

ROAS
Net Return
Cost per €1 Revenue

ROAS Formula

ROAS = Revenue from Ads / Ad Spend

ROAS tells you how much revenue you earn for every euro spent on advertising. A ROAS of 5x means you earn €5 for every €1 spent. Note that ROAS measures revenue, not profit — you need to account for COGS and fees to know true profitability.

How to improve your roas

🎯

Optimize ad targeting

Narrow your audience to high-intent buyers. Broad targeting often wastes spend on low-converting traffic.

📄

Improve landing pages

A better landing page converts more ad clicks into sales, directly improving your ROAS.

🧪

Test ad creatives

Run A/B tests on headlines, images, and copy. Small creative improvements compound into significant ROAS gains.

💡

Account for COGS

A 4x ROAS looks great until you realize 60% is COGS. Track profit-based ROAS for the real picture.

STORELYST

Track ROAS automatically with real profit data

StoreLyst connects to Google Ads and tracks ROAS alongside your actual COGS, giving you profit-based ROAS — not just revenue-based. See which campaigns actually make money.

Learn about Google Ads Integration →

Frequently asked questions

What is a good ROAS?

A good ROAS depends on your margins. Generally, 4x+ ROAS is considered strong for ecommerce. If your margins are 50%, you need at least 2x ROAS to break even on ad spend. Higher-margin products can be profitable at lower ROAS.

What is the difference between ROAS and ROI?

ROAS measures revenue generated per ad dollar spent. ROI measures total profit after all costs. ROAS of 5x does not mean 500% ROI — you still need to subtract COGS, shipping, fees, and overhead to calculate actual ROI.

How do I improve my ROAS?

Focus on three areas: improve ad targeting to reach higher-intent buyers, optimize landing pages to convert more visitors, and increase average order value through upselling and bundling.

Should I pause campaigns with low ROAS?

Not always. Some campaigns (brand awareness, retargeting) have indirect benefits. Evaluate campaigns in context — a low-ROAS prospecting campaign may feed your high-ROAS retargeting funnel.

See your true ad profitability

StoreLyst tracks ROAS with real COGS data — not just revenue.