ROAS is a revenue ratio
A 4x ROAS means £4 of tracked revenue per £1 of ad spend. If your gross margin is 25%, 4x ROAS is exactly break-even before overheads.
ROAS is not profit. Add your product and fulfilment costs and this calculator shows the ROAS you actually need to break even.
Result
4.00x
return on ad spend
This campaign is above break-even before overheads.
Understand it
A 4x ROAS means £4 of tracked revenue per £1 of ad spend. If your gross margin is 25%, 4x ROAS is exactly break-even before overheads.
Break-even ROAS is 1 divided by your contribution margin. Knowing that number turns campaign decisions from guesswork into arithmetic.
FAQ
Want this handled across your whole catalogue?
Merchants on Community E-commerce get store-wide scanning, a Growth Score and prioritised fixes inside the dashboard.