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ROAS calculator and break-even ROAS calculator

Work out the real ROAS of your cash on delivery ads, based on orders actually delivered, and the minimum ROAS you need to avoid losing money. No sign-up.

Calculate your ROAS and break-even ROAS

Price and costs per order
Amount the customer pays on delivery.
Purchase cost of one delivered unit.
Per delivered order, center fees included.
Per confirmed order not delivered.
Advertising
Amount spent over the period.
Forms submitted over the period (leads).
COD rates
Share of orders confirmed.
Share of confirmed orders delivered.

Calculated in your browser, no data sent.

Results

Profitable: real ROAS above break-evenNot profitable: real ROAS below break-even

Real ROAS (delivered orders)
2.64 ×
Break-even ROAS
2.03 ×Below it, ads lose money. 0 = no margin before ads.
ROAS on orders received
8.00 ×What a platform shows when it counts every order as a sale.
Delivered orders
33
Cost per delivered order (CPA)
15.15
Maximum CPA
19.73Maximum ad cost per delivered order.
Profit after ads
151.00

An estimate based on the figures entered, in a single currency. It does not replace your accounting.

In short

ROAS (return on ad spend) is calculated as revenue ÷ ad spend. With cash on delivery, only revenue from delivered orders counts. Break-even ROAS is the ROAS below which ads lose money: delivered revenue ÷ margin before ads. With the default values, the real ROAS is 2.64 against a break-even of 2.03.

What is ROAS?

ROAS measures the revenue generated for each unit of currency spent on ads. A ROAS of 3 means 100 spent brought in 300 in sales. It’s the metric Meta, TikTok and Google track for sales campaigns.

ROAS doesn’t tell you whether you make money: it ignores product cost, delivery and returns. That’s why you compare it with your **break-even ROAS**, which depends on your margin.

How to calculate ROAS: the calculator’s formulas

All values are in the same currency. Intermediate values are never rounded; only the display is.

ResultFormulaWhat it’s for
Delivered ordersorders × confirmation rate × delivery rateThe only orders that earn money
ROAS on orders receivedorders × price ÷ ad spendWhat a platform shows when it counts every order
Real ROASdelivered × price ÷ ad spendThe return actually collected
Margin before adsdelivered × (price − product − delivery) − returns × return costWhat’s left to pay for ads
Break-even ROASdelivered revenue ÷ margin before adsThe minimum ROAS to avoid losing money
CPA (cost per delivered order)ad spend ÷ deliveredThe real cost of acquiring a paid parcel
Maximum CPAmargin before ads ÷ deliveredThe cost per delivered order not to exceed
Profit after adsmargin before ads − ad spendWhat the campaign really earns

Returns = confirmed − delivered. If no order is delivered or the margin is zero, results that divide by it show 0.

Worked example: the real ROAS of a COD offer

With the default values (price 40, product 10, delivery 7, return 4, 500 of ad spend for 100 orders, 60% confirmation, 55% delivery):

  • Ads Manager may show a ROAS of 8.00, because it counts all 100 orders received.
  • Only 33 orders are delivered: the real ROAS is 33 × 40 ÷ 500 = 2.64.
  • Margin before ads is 1,320 − 561 − 108 = 651, so break-even ROAS is 1,320 ÷ 651 = 2.03.
  • The real ROAS beats the threshold: the campaign earns 151 in profit, with a CPA of 15.15 against a maximum of 19.73.
  • If the delivery rate drops to 45%, real ROAS falls to 2.16 and profit turns negative: the same reported ROAS then hides a loss.
Improve your ROAS

Four levers to improve real ROAS with COD

  1. 1

    Raise the delivery rate

    Fast confirmation, a precise address, an honest lead time: every extra parcel delivered improves real ROAS without spending more.

  2. 2

    Raise order value

    2- or 3-item bundles and complementary products increase revenue per delivery.

  3. 3

    Improve margin

    A better purchase or delivery cost lowers the break-even ROAS you need to reach.

  4. 4

    Measure the right orders

    Sending events through the Pixel and the Conversions API with deduplication gives the platform a more reliable signal.

ROAS frequently asked questions

How do you calculate ROAS?

Divide the revenue generated by ads by the ad spend for the same period. 1,500 in sales for 500 spent gives a ROAS of 3. With cash on delivery, use revenue from delivered orders, not from orders received.

What is break-even ROAS?

It’s the minimum ROAS at which ads don’t lose money. It equals 1 divided by your margin before ads: with a 50% margin, you need a ROAS of at least 2. With COD, that margin accounts for returns.

What is a good ROAS for ecommerce?

There’s no universal good ROAS: it all depends on your margin. A ROAS of 2 is excellent if your break-even ROAS is 1.5, and not enough if it is 2.5. Always compare real ROAS with your own threshold.

Why is Meta’s ROAS higher than my real ROAS?

Because the platform counts orders reported by your store, not parcels delivered and paid. With COD, some orders are never confirmed or delivered. The calculator shows the gap between the two.

ROAS or CPA: which should I track?

Both tell the same story from two angles. ROAS compares sales with spend; CPA gives the ad cost of one delivered order. Maximum CPA is often easier to use when managing a COD campaign day to day.

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