Free calculator
Break-even ROAS calculator
See how much return your ads need before an order stops making money. Use the same currency for every amount. The ROAS is a ratio, so the currency does not matter.
Results
Enter an order value and its costs.
The formula
Gross profit here is what is left on the order before any ad spend. The payment fee is the order value times the fee percent.
Gross profit per order = order value − product cost − shipping − payment fee − other variable costs
Break-even ROAS = order value ÷ gross profit per order
Max CPA = gross profit per order
ROAS for a target margin = order value ÷ (gross profit − order value × target margin)
Example, with no currency attached. Order value 80, product cost 22, shipping 6, payment fee 3% (2.40), and no other costs. Gross profit is 49.60. Break-even ROAS is 80 ÷ 49.60, which is 1.61. Max CPA is 49.60. A 20% target margin keeps 16, so the ROAS for that margin is 80 ÷ 33.60, which is 2.38.
Questions
What is break-even ROAS?
Break-even ROAS is the return your ads need so that ad spend uses up the profit on an order and nothing is left. A lower ROAS than that means the order lost money. A higher ROAS means you kept some profit.
How do you calculate break-even ROAS?
Subtract product cost, shipping, the payment fee, and any other per-order costs from the average order value. That is gross profit per order. Break-even ROAS is the order value divided by that profit. Max CPA is the same gross profit: it is the most you can pay to acquire the order and still break even.
What is max CPA?
Max CPA is the most you can spend to acquire one order and still break even. It is the gross profit on that order before ad spend.
What does the target profit margin do?
It is the share of the order value you want to keep after ad spend. The calculator sets that amount aside, then divides the order value by the profit left for ads. If the margin is higher than the profit before ads, no ROAS can hit it.
Does this include rent, salaries, or app fees that are not per order?
No. This uses costs that come with each order. A monthly rent, salary, or app bill is not in the formula. Those belong in a profit and loss view for the whole period.
Will Juicy calculate this for my store?
Yes. Juicy calculates this automatically from your real Shopify orders and ad spend. It uses the costs you have set and shows break-even ROAS next to the ROAS you actually got.
Juicy calculates this automatically from your real Shopify orders and ad spend.
See this on your own orders
Connect the store and your ad accounts. Juicy uses the costs you set, not a single average.
Install Juicy on Shopify