Break-even ROAS calculator

Use the economics of one order to estimate the ROAS and acquisition cost at which advertising consumes the entire contribution before fixed operating costs.

Reviewed Sep 23, 2026

Break-even ROAS
1.82x
Maximum break-even CPA
$44.00
Contribution margin
55.0%
Contribution per order
$44.00

01

The break-even ROAS formula

Contribution per order equals average order value minus product cost and other variable costs. Break-even ROAS divides average order value by that contribution.

The maximum break-even CPA is the same contribution amount. Spending more than it to acquire an order creates a loss before fixed costs under the entered assumptions.

02

Include every cost that moves with an order

Product cost alone is rarely enough. Include variable fulfillment, shipping subsidies, payment fees, expected returns and other costs that increase when another order is placed.

Fixed payroll and software costs require a separate profitability target. Break-even is a boundary, not necessarily the target used to operate campaigns.

FAQ

Common questions

Why is break-even ROAS different for every business?

Because order value and contribution margin differ. A higher-margin order can break even at a lower ROAS than a low-margin order.

Should lifetime value be included?

Only when repeat behavior is measured reliably and the business can fund the delay. First-order break-even remains the safer operating reference.