ROAS Calculator

Total Revenue

Total Ad Spend

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Your ROAS

Return on Ad Spend (ROAS)

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ROAS measures the revenue generated for every dollar spent on advertising. A higher ROAS indicates more effective ad campaigns.

Step 1 - Enter your total revenue generated from the ad campaign you want to analyze — find this in your ad platform's conversion reporting.

Step 2 - Enter your total ad spend for the same campaign and time period — the exact amount spent on that campaign across all ad placements.

Step 3 - Add your preferred currency symbol to match the currency of your campaign — use $, €, £, or any other symbol.

Step 4 - Instantly see your ROAS score as a percentage. Hit Reset Calculator to clear the fields and analyze a different campaign.

ROAS Calculator FAQs

What is ROAS?

ROAS stands for Return on Ad Spend. It measures how much revenue you generate for every dollar spent on advertising. It is calculated by dividing total revenue from a campaign by total ad spend. For example, if you spent $1,000 and generated $5,000 in revenue, your ROAS is 5:1 or 500%.

What is a good ROAS for e-commerce?

A good ROAS for most e-commerce businesses is generally between 3:1 and 5:1, meaning $3 to $5 in revenue for every $1 spent. However, what counts as good depends heavily on your profit margins. Businesses with thin margins need a higher ROAS to remain profitable, while high-margin businesses can sustain a lower one.

What is the difference between ROAS and ROI?

ROAS measures revenue generated relative to ad spend only. ROI measures overall profitability relative to all business costs, including cost of goods sold, operational expenses, and salaries. ROAS is a tactical metric for evaluating specific campaigns, while ROI is a broader measure of overall financial health.

Does ROAS account for profit margins?

No. ROAS only measures revenue relative to ad spend — it does not factor in product costs, shipping, overhead, or any other expenses. A high ROAS does not automatically mean you are profitable. You need to know your profit margins to determine whether your ROAS is generating actual profit.

What data do I need to calculate ROAS?

You need two numbers: the total revenue directly attributable to your ad campaign, and the total cost of that campaign for the same period. Both figures are typically available in your ad platform dashboard — such as Google Ads, Meta Ads Manager, or TikTok Ads.

Can I use this calculator for different ad channels?

Yes. You can use this calculator to measure ROAS for any campaign across any ad platform — including Google, Meta, TikTok, Pinterest, and more. Run separate calculations for each channel or campaign to compare performance and identify where your ad spend is most effective.

What should I do if my ROAS is too low?

Start by reviewing your audience targeting, ad creative, and landing page experience. Poor targeting wastes spend on the wrong people, weak creatives reduce click-through rates, and slow or irrelevant landing pages hurt conversions. Identify which of these is the weakest link and optimize it first before scaling any further spend.

How does ROAS relate to Average Order Value?

Average Order Value (AOV) directly influences ROAS. If your AOV increases while ad spend and conversion rates stay the same, your ROAS improves automatically. Strategies like product bundling, upselling, and free shipping thresholds can raise AOV and boost ROAS without increasing your ad budget.

How often should I check my ROAS?

For high-spend or actively managed campaigns, check ROAS daily or weekly to catch issues early and make timely adjustments. For lower-budget or longer-running campaigns, monthly reviews are typically sufficient. Consistent monitoring across the same time intervals makes it easier to spot trends and measure the impact of optimizations.

Is the Yotpo ROAS Calculator free to use?

Yes, this ROAS Calculator is completely free to use. For tools that help improve your ROAS through customer reviews and loyalty programs, check out Yotpo's full platform here.