Break-even ROAS and CPA calculator
Break-even is the point where ads neither earn nor lose money. Knowing it before you start tells you the maximum cost per order your business can afford.
EUR
%
Result
Fill in the numbers to see the result.
How it's calculated
- Break-even ROAS = 1 / gross margin.
- Break-even CPA = average order value x gross margin.
Average order 60 EUR, margin 40 %. Break-even CPA is 24 EUR and break-even ROAS is 2.5. If an order costs you more than 24 EUR in ads, you lose money on it.
What is a good value?
- Your real cost per order should stay clearly under break-even, ideally below 70 % of it.
- Between 70 and 100 % of break-even it is tight: small changes can tip it into a loss.
- Above break-even, only repeat purchases can justify the cost, and only if you measure them.
Frequently asked questions
What is break-even in advertising?
The cost per order at which gross profit from the order exactly pays for the ad. Below it you earn, above it you lose.
Should I include shipping in margin?
Yes, if you pay for it. Margin should include everything you pay per order except the ads.
What about repeat customers?
They can justify a higher first-order cost, but only if you know your real repeat rate from data.
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