ROAS Calculator

The DataFlowed ROAS calculator helps e-commerce and Shopify store owners measure the effectiveness of their advertising campaigns. Calculate your store's Return on Ad Spend (ROAS) across Facebook, Google, TikTok, and YouTube.

Enter Your Data

Revenue

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Ad Spend by Platform

Enter the amount spent on each advertising platform.

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About ROAS

Return on Ad Spend (ROAS) is a marketing metric that measures the revenue generated for every dollar spent on advertising. It's a crucial KPI for e-commerce businesses to evaluate the effectiveness of their digital advertising campaigns.

How to calculate ROAS

The formula for calculating ROAS is simple:

ROAS = Revenue from Ad Campaign / Cost of Ad Campaign

Interpreting your ROAS

  • Less than 1.0: You're losing money on your advertising.
  • 1.0: You're breaking even.
  • 1.0 - 3.0: Your campaigns are profitable but may need optimization.
  • 3.0 - 5.0: Your campaigns are performing well.
  • 5.0+: Your campaigns are highly effective.

Remember that a "good" ROAS depends on your business model, industry, and profit margins. For example, if your profit margin is 20%, you need a ROAS of at least 5 to break even.

Tips to improve your ROAS

  1. Refine your targeting to reach more qualified prospects
  2. Optimize your ad creative and messaging
  3. Improve your landing page conversion rates
  4. Test different bidding strategies
  5. Allocate more budget to high-performing campaigns

Want More Detailed Reports?

Automatically export your Shopify and Marketing data to Google Sheets with DataFlowed. Use our free Google Sheets templates to track your ROAS, revenue, and more.

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