ROAS to ACoS and ACoS to ROAS Calculator

Quickly convert ROAS to ACoS or ACoS to ROAS with this free calculator, making ad performance easy to compare and report

ROAS to ACoS Calculator
ACoS to ROAS Calculator

ACoS to ROAS Calculator

Use this page to convert ACoS to ROAS and ROAS to ACoS in one step. Enter a single number, and get the matching value right away. This helps teams that report in different formats. Amazon sellers often speak in ACoS. Performance marketers often prefer ROAS. Both measure ad efficiency. They look at the same relationship from opposite sides.

This guide explains each metric in plain language. You will see formulas, quick tables, and worked examples. You will learn how margin shapes targets. You will know when to use each metric in daily work.

What is ACoS?

ACoS stands for Advertising Cost of Sales. It shows the share of revenue that went to ads. Think of it as a percent of sales.

If you spend ₹2,000 and earn ₹10,000 in tracked sales, ACoS equals 20%. The math is simple. Small number means lower cost pressure. Big number means higher cost pressure.

Teams on Amazon Ads use ACoS for bids, search term pruning, and target setting. The metric fits Amazon reports, so it feels natural there.

What a low ACoS means

  • You spent less for each rupee of revenue.
  • You gained more room for profit after ad costs.
  • You can test higher bids or new keywords with less risk.

What a high ACoS means

  • You spent more for each rupee of revenue.
  • Your margin must be high to stay profitable.
  • You may need tighter targeting or stronger product pages.

ACoS Formula

Write the formula like this:

ACoS = (Ad Spend ÷ Ad Revenue) × 100

Example:

  • Ad Spend: ₹5,000
  • Ad Revenue: ₹25,000

ACoS = 5,000 ÷ 25,000 × 100 = 20%

You spent twenty paise to make one rupee in sales.

You can flip any pair of numbers into this frame. Keep spend on top. Keep revenue on the bottom. Then multiply by 100 to get percent.

What is ROAS?

ROAS stands for Return on Ad Spend. It shows how many rupees you earned for each rupee you spent. The unit is a ratio, not a percent. People read it as “x-times” or “x to 1”.

If you spend ₹10,000 and earn ₹50,000, ROAS equals 5. Many platforms present this number by default. Google Ads, Meta Ads, and many analytics tools use ROAS in core views.

What a high ROAS means

  • Each rupee of spend produced many rupees of revenue.
  • You may be able to scale budgets.
  • Your funnel and product price likely support growth.

What a low ROAS means

  • Each rupee of spend produced fewer rupees of revenue.
  • Profit needs close review.
  • You may need stronger creative, landing pages, or targeting.

ROAS Formula

Write the formula like this:

ROAS = Ad Revenue ÷ Ad Spend

Example:

  • Ad Spend: ₹8,000
  • Ad Revenue: ₹32,000

ROAS = 32,000 ÷ 8,000 = 4

You earned four rupees for each rupee spent.

Many dashboards round to one decimal. Your finance team may prefer two decimals. Pick one rule for your reports and keep it steady.

How to calculate ACoS from ROAS

ACoS and ROAS mirror each other. One goes up when the other goes down. You can convert ROAS to ACoS with a single step.

Formula

ACoS = (1 ÷ ROAS) × 100

Examples

  • ROAS 2 → ACoS = 1 ÷ 2 × 100 = 50%
  • ROAS 3 → ACoS = 1 ÷ 3 × 100 ≈ 33.33%
  • ROAS 4 → ACoS = 25%
  • ROAS 5 → ACoS = 20%
  • ROAS 10 → ACoS = 10%

Quick table

ROASACoS
1.566.67%
250%
2.540%
333.33%
3.528.57%
425%
520%
616.67%
812.5%
1010%

Keep this pattern in mind. Double the ROAS, and ACoS halves. Halve the ROAS, and ACoS doubles.

How to calculate ROAS from ACoS

You can convert ACoS to ROAS with a single division.

Formula

ROAS = 100 ÷ ACoS

Write ACoS as a percent. Then divide 100 by that percent.

Examples

  • ACoS 50% → ROAS = 100 ÷ 50 = 2
  • ACoS 33.33% → ROAS ≈ 3
  • ACoS 25% → ROAS = 4
  • ACoS 20% → ROAS = 5
  • ACoS 10% → ROAS = 10

Quick table

ACoSROAS
66.67%1.5
50%2
40%2.5
33.33%3
28.57%3.5
25%4
20%5
16.67%6
12.5%8
10%10

This works for any number you enter. Keep units clear. ACoS stays as percent. ROAS stays as a ratio.

Should I use ROAS or ACoS?

Pick the metric that fits your platform, team, and reporting needs.

Use ACoS when

  • You manage Amazon PPC.
  • Your team tracks percent-based spend controls.
  • You report to a finance group that thinks in margins.

Use ROAS when

  • You manage Google, Meta, or any multi-channel mix.
  • Your stakeholders compare campaigns across channels.
  • You need a single yardstick in one ratio.

You can show both in a single sheet. Keep one as the lead number. Keep the other as a derived number for reference. That keeps meetings short and clear.

Break-even ACoS and target ROAS

ACoS or ROAS on its own does not prove profit. Margin sets the real target. Work from product math first, then pick targets that match.

Key terms

  • COGS: product cost, packaging, and any variable unit cost.
  • Fees: marketplace fees, payment fees, and shipping tied to the sale.
  • Gross margin: (Price − COGS − Fees) ÷ Price.

Break-even ACoS

Break-even ACoS equals your gross margin percent. If the ad cost share equals your margin share, you earn zero profit from ads. Anything lower than that share leaves profit. Anything higher removes profit.

Example:

  • Price: ₹1,000
  • COGS: ₹500
  • Fees and shipping: ₹150
  • Gross profit: ₹350
  • Gross margin: 350 ÷ 1,000 = 35%

Break-even ACoS = 35%. If your ACoS equals 35%, profit from ads equals zero. If ACoS drops to 25%, you keep 10% of price as profit after ad costs.

Target ROAS

Convert the same logic to ROAS.

Target ROAS = 100 ÷ Break-even ACoS

In the example above, Target ROAS = 100 ÷ 35 = 2.86. At that ROAS, profit from ads equals zero. Higher ROAS lifts profit. Lower ROAS reduces profit.

Rule of thumb

  • Margin 50% → Break-even ACoS 50% → Target ROAS 2.
  • Margin 33% → Break-even ACoS 33% → Target ROAS 3.
  • Margin 25% → Break-even ACoS 25% → Target ROAS 4.

This gives a fast way to set floors for bids and budgets.

Worked scenarios

Low margin product

  • Price: ₹1,200
  • COGS and fees: ₹900
  • Gross profit: ₹300
  • Margin: 25%

Break-even ACoS: 25%. Target ROAS: 4. ACoS at 30% means loss on ad-attributed sales. ROAS at 3 means loss on ad-attributed sales.

High margin product

  • Price: ₹1,200
  • COGS and fees: ₹480
  • Gross profit: ₹720
  • Margin: 60%

Break-even ACoS: 60%. Target ROAS: 1.67. You have more room to test new keywords and audiences. You can back top-funnel queries with less stress.

Mixed cart effects

Some ads lift total store sales beyond tracked revenue. Brand search often benefits from prior prospecting. If you see a lift in total revenue when prospecting runs, record that change. Then update targets with a conservative factor. Keep the factor stable for a month, and review with fresh data.

Common mistakes with ACoS and ROAS

Using gross sales where net sales are needed
Promo code use and returns can skew metrics. Track the same sales base each time. Net revenue after refunds makes reviews cleaner.

Mixing time windows
Do not compare a 7-day ACoS to a 30-day ROAS. Pick one window for all teams. Many brands pick 28 or 30 days.

Ignoring attribution lag
Sales can land a few days after the click. Short windows hide that tail. Use enough time to catch the late sales for your category.

Comparing across channels without context
A ROAS of 3 on Prospecting and a ROAS of 8 on Brand are not equal tasks. Each supports the other. Review the full picture before you cut budgets.

Overreacting to one day
Daily swings can be large. Work with weekly trends for decisions. Check daily data for alerts, not for strategy.

How our free converter should work on your site

  • Field 1: Enter ACoS (%).
  • Field 2: Enter ROAS (x).
  • Enter a number in either field.
  • The tool fills the other field with the converted value.
  • Add a small helper line for each field:
    • “Use whole number percent. Example: 25 for 25%.”
    • “Use ratio. Example: 4 for 4x.”

Validation tips

  • Reject negative numbers.
  • Reject zero.
  • Cap ACoS at 100 for direct entry.
  • Allow ROAS up to any practical limit. You can cap at 100 for neat charts.

Extras that help users

  • A quick reference table below the fields.
  • A link to margin math and break-even steps.
  • A short note on standard attribution windows for each ad network.

Benchmarks by goal

Use these as rough anchors. Your margin sets the real target.

Profit first

  • Aim for ACoS below margin by 5 to 15 points.
  • Aim for ROAS above break-even by 20 to 50%.

Growth with profit control

  • Allow ACoS near margin.
  • Allow ROAS near break-even.
  • Watch blended store profit weekly.

Scale tests or launch weeks

  • Expect ACoS above margin for a short period.
  • Expect ROAS below break-even for a short period.
  • Set a time box and a spend cap in advance.

Practical ways to improve results

Tighten match between search intent and page

  • Match keyword to product title and bullets.
  • Place price, key benefit, and delivery info near the top.
  • Use clear, high-res images with scale cues.

Strengthen offer quality

  • Test a price that fits the category band.
  • Add a clear bundle or quantity break.
  • Use reviews and Q&A to remove doubt.

Focus budget where return is proven

  • Keep strong keywords at high rank.
  • Pause terms with many clicks and no sales.
  • Split campaigns by match type for control.

Clean measurement

  • Use one attribution window for all reports.
  • Track refunds and cancellations in the same way each month.
  • Tag links from ads to pages in a consistent format.

These steps tend to cut ACoS and lift ROAS over time. They also make results easier to read in meetings.

FAQ

Is a lower ACoS always better?
Not always. Low ACoS protects profit. New brands often need reach. That can raise ACoS for a short period. Use a time box and clear review dates.

What counts as a good ROAS?
Match it to margin. A 25% margin suggests a break-even ROAS near 4. Anything above that number adds profit. Anything below that number reduces profit.

Can I compare ACoS on Amazon with ROAS on Google?
Yes. Convert one to the other with the formulas on this page. Then line them up in a single sheet.

Should I include repeat purchases in ROAS?
Decide the rule in advance. New customer ROAS and blended ROAS tell different stories. Track both if you have the data.

How do promos affect ACoS and ROAS?
Promos cut price and margin. Break-even ACoS rises. Target ROAS falls. Update targets during the promo period, then reset after it ends.

What if my product has wide price swings?
Use campaign splits by price tier. Set separate targets for each tier. That keeps bids aligned with real margin.

Reference examples you can reuse

Example 1: Convert ROAS to ACoS

  • ROAS: 3.2
  • ACoS: 1 ÷ 3.2 × 100 = 31.25%

Example 2: Convert ACoS to ROAS

  • ACoS: 18%
  • ROAS: 100 ÷ 18 ≈ 5.56

Example 3: Set targets from margin

  • Price: ₹2,000
  • COGS and fees: ₹1,100
  • Gross profit: ₹900
  • Margin: 45%
  • Break-even ACoS: 45%
  • Target ROAS: 100 ÷ 45 ≈ 2.22

Example 4: Compare two campaigns

  • Campaign A: Spend ₹30,000, Revenue ₹120,000 → ROAS 4 → ACoS 25%
  • Campaign B: Spend ₹15,000, Revenue ₹52,500 → ROAS 3.5 → ACoS 28.57%

If margin equals 35%, both pass the break-even mark. Campaign A scales better at current bids.

Glossary

Ad Spend
Money paid for clicks, views, or impressions in the period.

Ad Revenue
Tracked revenue tied to the ad click or view in the set window.

Attribution Window
Time span between click or view and counted sale. Common ranges include 7, 14, 28, and 30 days.

Break-even
The point where profit from ad-attributed sales equals zero. Spend and margin balance each other at this point.

COGS
Direct costs to produce and ship one unit.

Gross Margin
Gross profit as a percent of price.

Prospecting
Ads that reach new users who have not visited your site.

Remarketing
Ads that reach users who visited your site or searched for your brand.

Why this converter matters for teams

Many stores sell on Amazon and on their own site. Some add marketplaces and quick-commerce apps. Teams that run across channels face two math styles. ACoS and ROAS can cause friction in reviews. A fast converter removes that friction. People see the same performance in the format they know. That speeds up budget calls, bid changes, and roadmap talks.

You now have clear formulas, tested examples, and quick tables. Use them in your docs and sheets. Add the free converter to your site or dashboard. Then keep one target per product line, tied to real margin. That habit keeps your ACoS and ROAS on track, and it keeps your meetings short.