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ROAS Calculator

See what's driving your ROAS. Slide CPM, CTR, conversion rate, order value and margin to see how each one changes your ROAS, CPA and break-even point. Benchmarks come from $35M in US Meta ad spend across the accounts we work with.

Paste in numbers from Ads Manager. We'll work out your CPM, CTR, conversion rate and AOV, then load them into the sliders.

$
$

Drag a slider or type a number. Everything on the right updates, so you can see how a better CTR or a cheaper CPM moves your ROAS and CPA.

Monthly ad spend
$
CPMCost per 1,000 impressions
$
Median in our data: $18.73 across $35M in US Meta spend. DTC $16.02, CPG $19.47, tech $27.98.
CTRLink clicks ÷ impressions
%
Conversion ratePurchases ÷ link clicks
%
Median in our data: 2.2% for DTC, 1.5% for CPG.
Average order value
$
Gross marginAfter product, shipping and fees
%
Sets your break-even ROAS: 1 ÷ gross margin.
Your results

Changes are shown against your starting point.

ROAS
–
CPA
–
  • Impressions
  • Link clicks
  • CPC
  • Purchases
  • Revenue
  • Break-even ROAS
  • Profit after ad spend

ROAS = revenue ÷ ad spend, or AOV ÷ CPA. CPA = CPM ÷ 1,000 ÷ CTR ÷ conversion rate. Break-even ROAS = 1 ÷ gross margin. Platform-reported results only, so retail and Amazon sales don't show up here.

How to calculate ROAS

ROAS, or return on ad spend, is the revenue your ads bring in for every dollar you spend on them.

ROAS = revenue from ads ÷ ad spend

Spend $10,000 and bring in $30,000, and your ROAS is 3.0x. On Meta you can also get there from your order value and cost per purchase: ROAS = AOV ÷ CPA. A $90 order at a $30 CPA is a 3.0x ROAS.

Find your break-even ROAS

Break-even ROAS is the ROAS where the gross profit from your sales exactly covers your ad spend. Below it, your ads lose money. Above it, they make money, before other costs.

Break-even ROAS = 1 ÷ gross margin

  • 50% margin: break-even ROAS is 2.0x
  • 40% margin: 2.5x
  • 33% margin: 3.0x
  • 25% margin: 4.0x

The same works for CPA. Your break-even CPA is AOV × gross margin, so on a $90 order at a 50% margin you can pay up to $45 per purchase. Set your margin in the calculator above and it will tell you whether your ROAS is above or below the line.

What moves ROAS

Break ROAS into its parts and it comes down to four numbers: ROAS = AOV × CTR × conversion rate × 1,000 ÷ CPM. They multiply, so a 20% lift in AOV, CTR or conversion rate raises ROAS by 20%. A 20% drop in CPM raises it by 25%.

That's why small changes add up fast. Lift CTR from 1.5% to 2% and ROAS rises 33%, with no change to budget or targeting. Try it above.

  • CPM is set by your audience, your optimization goal and how many people your ads appeal to. Broad targeting with creative that speaks to a wide range of people tends to bring it down.
  • CTR is mostly creative: the hook in the first second, the angle and how clearly the ad shows what you sell.
  • Conversion rate depends on the offer, the landing page and whether the ad set the right expectations before the click.
  • AOV lifts ROAS without touching CPA. Bundles, subscriptions and higher-priced products all help.

Every formula in the calculator

  • Impressions = ad spend ÷ CPM × 1,000
  • CPM (cost per 1,000 impressions) = ad spend ÷ impressions × 1,000
  • CTR (click-through rate) = link clicks ÷ impressions
  • CPC (cost per click) = ad spend ÷ link clicks
  • Conversion rate = purchases ÷ link clicks
  • CPA (cost per acquisition) = ad spend ÷ purchases
  • ROAS = revenue ÷ ad spend
  • Break-even ROAS = 1 ÷ gross margin
  • Profit after ad spend = revenue × gross margin − ad spend

Meta ads benchmarks

These come from the highest-spending US accounts we work across, roughly $100K to $2.3M a month each, with $35.3M in Meta spend from June to August 2026. Full details are in our Meta ads benchmarks report.

Median CPMMedian conversion rate
All accounts$18.73
DTC$16.022.2%
CPG$19.471.5%
Tech and apps$27.98Not comparable*

*Most tech accounts optimize for installs, sign-ups or trials, not purchases.

We don't publish a ROAS benchmark. Accounts optimize for different goals, attribution settings vary, and CPG brands sell in stores Meta can't see. Your ROAS target should come from your own margins, which is what the break-even line is for.

Better creative is the cheapest lever

Budget and targeting are mostly automated on Meta now. The inputs you still control are the ads. A stronger hook lifts CTR, a clearer promise lifts conversion rate, and a wider range of genuinely different ads helps Meta find cheaper audiences.

That's what we do. Biddyco makes UGC, motion and static ads for brands spending $100K to $5M a month on Meta, across 100+ accounts. Book an intro call to talk through your numbers, or see more data in our Meta Ads Statistics hub.

FAQ

What is ROAS?

ROAS stands for return on ad spend. It's the revenue your ads generate for every dollar spent on them. A 3.0x ROAS means $3 in revenue for every $1 of ad spend.

How do you calculate ROAS?

Divide revenue from ads by ad spend. $30,000 in revenue on $10,000 in spend is a 3.0x ROAS. You can also get it from AOV ÷ CPA.

What is a good ROAS?

Any ROAS above your break-even point, which is 1 ÷ your gross margin. A brand with a 40% margin breaks even at 2.5x. There's no single good number, because margins differ so much between brands.

How do you calculate break-even ROAS?

Divide 1 by your gross margin as a decimal. At a 50% margin, break-even ROAS is 1 ÷ 0.5 = 2.0x. Gross margin should account for product cost, shipping and payment fees.

How do I improve my ROAS on Meta?

Raise CTR, conversion rate or AOV, or lower CPM. Because they multiply, a 20% gain in CTR, conversion rate or AOV lifts ROAS by 20%. Most of the room is usually in the creative: stronger hooks for CTR, clearer offers for conversion rate, and more varied ads to reach cheaper audiences.

What is a good CPM for Meta ads?

In our data, the median Meta CPM was $18.73 across $35M in US ad spend from June to August 2026. DTC brands paid a median of $16.02, CPG $19.47 and tech $27.98. CPMs usually rise in Q4.

Is conversion rate based on clicks or impressions?

In this calculator, conversion rate is purchases ÷ link clicks, which matches how most teams read it in Ads Manager.