Amazon ROAS calculator.
ROAS is revenue per rupee of advertising. Spend ₹18,400, make ₹64,000, and your ROAS is 3.48× — for every rupee spent, three and a half came back as sales. Sales, not profit, which is the single thing most often misread about it.
Sales the marketplace credited to the ads.
What those ads cost over the same period.
What is left of the selling price after product cost, fees and shipping. Sets your break-even ROAS.
3.48×
Each ₹1 of advertising returned ₹3.48 in sales — sales, not profit.
Healthy
Profitable with enough headroom to absorb a returned order or a bad week.
How it is worked out.
ROAS = Ad Revenue ÷ Ad Spend
- Ad Revenue
- Sales attributed to the ads inside the marketplace's attribution window.
- Ad Spend
- What those ads cost over the same period.
ROAS and ACOS are the same fact stated two ways: ROAS = 100 ÷ ACOS. Amazon's reports show ACOS, most agencies quote ROAS, and Flipkart's PLA reports let you set a ROI target that is the same idea again.
With real numbers.
Same campaign as the ACOS example.
| Ad revenue (attributed sales) | ₹64,000 |
|---|---|
| Ad spend | ₹18,400 |
64,000 ÷ 18,400 = 3.48× ROAS
Each rupee of advertising returned ₹3.48 in sales. That is the same statement as a 28.75% ACOS — and, on a unit with a 39% margin, it means the campaign is earning rather than buying volume.
What the number means.
The benchmark that matters is your break-even ROAS: 100 ÷ your break-even ACOS. On the ₹1,299 unit used throughout these pages, break-even ACOS is 39%, so break-even ROAS is 2.56×. Below that, every advertised sale costs more than it contributes.
| Range | Verdict | What it means |
|---|---|---|
| Over 5× | Room to spend | Twice what the unit needs. Usually a sign of underbidding rather than brilliance — you are winning only the cheap auctions. |
| 3.2× – 5× | Healthy | Profitable with headroom. The same territory as a 20–31% ACOS. |
| 2.56× – 3.2× | Thin | Working, but with little margin for a returned order or a bad week. Acceptable during a launch, uncomfortable as a steady state. |
| Under 2.56× | Losing money on ad sales | The sale happens and costs you money. Deliberate when buying rank; expensive when it is simply where the account drifted. |
Note how much of this depends on the ₹1,299 unit's margin. A 3× ROAS is excellent at 45% margin and a loss at 25%. Nobody can tell you a good ROAS without knowing your costs.
Where this goes wrong.
- 01
Treating ROAS as return on investment
ROAS is revenue per rupee, not profit per rupee. A 3× ROAS on a product with a 25% margin loses money: ₹100 of spend produced ₹300 of sales carrying ₹75 of contribution. Profit ROI would be negative while the ROAS looks respectable.
- 02
Quoting one blended ROAS for the account
A blended figure hides the shape. Branded campaigns routinely run at 8–15× and pull the average up far enough to conceal a discovery campaign sitting at 1.2×.
- 03
Believing 3× is a standard
It is the most repeated number in ecommerce advertising and it comes from nowhere. Break-even ROAS is 100 ÷ your margin — for a 20% margin that is 5×, and a '3× standard' would be losing money on every sale.
- 04
Comparing ROAS where one figure includes tax
If one marketplace reports revenue gross of GST and another net of it, their ROAS figures differ by roughly the tax rate before any performance difference is involved.
- 05
Reporting ROAS with no attribution window attached
A 14-day window flatters ROAS against a 7-day one on identical spend. A ROAS quoted without its window is not a comparable number.
The rest of the set.
Where the real numbers live.
- Flipkart PLA Campaign Report
Flipkart runs the same idea under a different name — campaigns carry an ROI target, and a blank one means the campaign is bidding on CPC instead.
- SP Campaign Report
Per-campaign spend and attributed sales from your Amazon export, so the ROAS is computed rather than typed.
- Amazon Budget Planner
Model the ROAS a given monthly budget can be expected to produce across SP, SB and SD before committing it.
One ROAS for the account is an average of things that disagree.
Branded at 12×, discovery at 1.2×, and a blended 3.4× that describes neither. The Campaign Report module splits your export by campaign so you can see which ROAS you are actually looking at.
Questions people actually ask.
What is a good ROAS?
Above your break-even ROAS, which is 100 ÷ your break-even ACOS. If your contribution margin is 39%, break-even ROAS is 2.56× and anything above roughly 3.2× is comfortable. If your margin is 20%, break-even is 5× and a 3× ROAS is a loss. The commonly quoted '3× is good' has no basis outside the margin it silently assumes.
Is ROAS the same as ACOS?
Same information, inverted. ROAS = 100 ÷ ACOS, and ACOS = 100 ÷ ROAS. A 25% ACOS is a 4× ROAS. Which one you use is a matter of who is asking.
Does ROAS include profit?
No, and this is the mistake that costs money. ROAS counts revenue returned per rupee spent, before product cost, marketplace fees, shipping or returns. To turn it into a profit statement, compare it against break-even ROAS — or use the break-even ACOS calculator, which does the comparison directly.
How do I calculate break-even ROAS?
Divide 100 by your break-even ACOS, which is the same as your contribution margin. A 39% margin gives a break-even ROAS of 2.56×; a 25% margin gives 4×. The lower your margin, the higher the ROAS you need just to stand still.
Why is my ROAS falling when nothing changed?
Usually competition or seasonality raising the cost per click while conversion holds — you are paying more for the same customers. It can also be attribution: pull a recent period too early and the sales side is still filling in, which drags ROAS down and then quietly recovers.