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Break-even ROAS calculator

Enter what an average order earns and costs. You get the contribution margin, the break-even ROAS and the most you can pay to acquire an order.

Stock photos and example labels, not customers.

Use your own refund rate.
Leave empty to skip the comparison.

Example presets use made-up numbers.

How it is calculated

Contribution per order = order value - product cost - shipping and fees - expected returns. Contribution margin = contribution per order / order value. Break-even ROAS = 1 / contribution margin. Break-even CPA equals the contribution per order: at that cost per order the ad earns nothing and loses nothing.

Example with made-up numbers: an order of 100 with 35 product cost, 10 shipping and fees and 5 allowed for returns leaves 50. The margin is 50%, so break-even ROAS is 2.0 and break-even CPA is 50.

How to read the result

  • Above break-even ROAS, an order contributes to fixed costs and profit.
  • Below it, each order loses money before fixed costs.
  • The ROAS you compare must use the same revenue definition as the order value here.

What it does not include

It does not include fixed costs such as salaries and rent, or the value of repeat orders. A first order can break even while later orders create the profit, so read it with lifetime value as an estimate.

Related terms

Break-even ROASContribution marginPlatform ROASAOV

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Questions about this tool

Is break-even ROAS the same for every product?

No. It depends on each product's contribution margin, so a catalog with very different margins needs separate numbers for separate groups of products.

Which ROAS should I compare it with?

Compare it with a ROAS measured on the same revenue definition. Platform ROAS depends on the platform's attribution, so check the window before treating it as proof.

Does this tool save or send my numbers?

No. The calculation runs in your browser and nothing you type is sent anywhere.

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