ROAS calculator: will your ad budget pay back?

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Results are estimates to guide decisions, not financial advice. Your numbers stay in your browser.

How to read your result

ROAS (return on ad spend) is the sales your ads bring for every rupee or dollar spent. A ROAS of 4× means ₹4 of sales for every ₹1 of ads.

A high ROAS is not always profitable. What matters is whether it beats your break-even ROAS, which depends on your margin. At a 40% margin you need at least 2.5× just to cover the ad spend.

Leads = budget ÷ cost per lead
Customers = leads × close rate
ROAS = (customers × sale value) ÷ budget
Break-even ROAS = 1 ÷ gross margin

Three levers, in order

Close rate. Usually the cheapest to improve: faster replies, better follow-up, clearer proposals.
Cost per lead. Better targeting, stronger offers and landing pages that convert.
Sale value. Packages, add-ons and pricing that reflects your position.

Questions

What is a good ROAS?

It depends on your margin. Divide 1 by your gross margin to get your break-even ROAS: 2.5× at a 40% margin, 5× at 20%. Anything above break-even is profitable on the first sale, before repeat business.

Should I include repeat purchases?

This calculator uses the first sale only, which keeps it conservative. If customers buy again, your real return is higher; our customer lifetime value calculator (coming soon) covers that.

What cost per lead should I expect in India?

It varies widely by industry and city: from a few hundred rupees for local services to several thousand for real estate and B2B. Use your own numbers from the last three months if you have them.

Is my data saved?

No. The calculation runs in your browser. Nothing is sent unless you choose to email yourself the result.

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