Breakeven ROAS Calculator
Before you scale an ad campaign, know the number it has to beat. Enter your product cost, shipping and selling price to get the exact ROAS and cost per order where your ads break even - then enter your current ROAS to see if you’re actually making money.
What is breakeven ROAS?
ROAS is your return on ad spend - revenue divided by what you spent on ads. Your breakeven ROAS is the point where the money you spend on advertising exactly equals the profit you make on each order. Sell above it and you make money; sell below it and every order loses you a little.
- Breakeven ROAS = selling price ÷ profit per sale
- Breakeven CPA = profit per sale (the most you can pay to win one order)
- Profit per sale already nets out product cost, shipping and payment fees
Breakeven ROAS vs breakeven CPA
They’re two views of the same limit. Breakeven CPA is the dollar ceiling - the most you can pay to acquire one order. Breakeven ROAS is the ratio - how many dollars of revenue you need for every dollar of ad spend. Higher-margin products have a lower breakeven ROAS, which is exactly why margin matters so much in paid acquisition.
How to use it
Enter your cost, shipping and price to see your thresholds. Then put your current campaign ROAS in the optional field to get a straight read on whether your ads are profitable and roughly how much you make (or lose) per order. To work backwards from your margins instead, try the profit margin calculator.
FAQ
What’s a good ROAS for dropshipping?
There’s no universal target - what matters is beating your breakeven, which depends entirely on your margin. A high-margin product can be profitable at a 2× ROAS while a thin-margin one needs 4× or more just to survive.
Does breakeven include product cost and fees?
Yes. The profit per sale behind these numbers already subtracts product cost, shipping and payment fees, so your breakeven ROAS reflects your real economics - not just the headline price.
Why is my breakeven ROAS so high?
A high breakeven ROAS almost always means thin margins. If the product needs an unrealistic ROAS to profit, the fix is usually a higher price, a cheaper source, or a different product - not better ads.
FAQ
What is breakeven ROAS?
Breakeven ROAS is the return on ad spend at which you make exactly zero profit: sell price ÷ profit per sale before ads. Below it every sale loses money; a healthy target is roughly double your breakeven.
What is a good ROAS for dropshipping?
There's no universal number - it depends entirely on margin. At a 65% margin breakeven is ~1.5× and a 3× ROAS is excellent; at a 30% margin breakeven is already over 3× and the same 3× campaign loses money.
How do I lower my breakeven ROAS?
Raise the price, lower the landed cost (cheaper or EU-stock supplier), or increase order value with bundles. Breakeven ROAS is a margin property - you fix it in the offer, not in the ad account.
Does breakeven ROAS include payment fees and the EU €3 duty?
It should - this calculator subtracts payment fees, and for EU-bound goods you should fold the €3 customs duty into your landed cost first (use the EU landed-cost calculator) so the breakeven you aim at is the real one.
Find products whose margins can actually carry ads
SpotPeaks surfaces real products gaining traction with the profit, margin and breakeven ROAS shown up front - plus genuine EU-stock flags and a guided launch from start to finish.
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