Sellerlane

ROAS calculator

Revenue looks great — but are your ads actually profitable?

Selling price minus product + shipping + gateway costs, as % of price. Use the margin calculator if unsure.

ROAS

Break-even

Ad profit

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What is ROAS?
Return on ad spend: revenue generated per rupee spent on ads. ₹50,000 revenue from ₹10,000 of ads is a ROAS of 5 (often written 5x or 500%).
What is break-even ROAS?
The ROAS at which ads neither make nor lose money: 1 ÷ gross margin. With a 40% margin, break-even ROAS is 2.5 — anything above that is profit, anything below loses money even though revenue looks healthy.
What is a good ROAS for e-commerce in India?
It depends entirely on your margin. High-margin D2C brands (60%+) can profit at 2x; low-margin electronics may need 8x+. Compute your break-even first, then target comfortably above it.

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