ROAS & break-even ROAS calculator
See whether your ads actually make money — not just revenue.
Quick answer: ROAS = ad revenue ÷ ad spend. Break-even ROAS = 1 ÷ contribution margin. Your ads are profitable only when ROAS is above break-even ROAS.
You are above break-even. Scale carefully and watch for ROAS decline as spend grows.
Frequently asked questions
What is ROAS?
ROAS (return on ad spend) is revenue from ads divided by ad spend. ₹4,00,000 revenue from ₹1,00,000 spend is a 4× ROAS.
What is break-even ROAS?
Break-even ROAS is the ROAS at which ad profit is zero. It equals 1 ÷ contribution margin. With a 40% margin after product, shipping and fees, break-even ROAS is 2.5×.
What is a good ROAS in India?
A good ROAS is any ROAS comfortably above your break-even ROAS. For many Indian D2C brands with 35–50% margins, break-even sits at 2–3×, so 3.5–5× is healthy. There is no universal number.
Is ROAS the same as ROI?
No. ROAS uses revenue; ROI uses profit. A 3× ROAS can still lose money if margins are thin, which is why this calculator shows profit too.