What is the Target ROAS Calculator?
Target ROAS = 1 ÷ (contribution margin − desired profit margin). If products leave a 55% contribution margin and you want 15% profit after ads, your ads may consume 40% of revenue, so target ROAS = 1 ÷ 0.40 = 2.5×.
How to use the Target ROAS Calculator
- Enter average order value.
- Enter variable costs per order.
- Set the profit margin you want after ads.
- Use the target ROAS as your bid target.
Why use AnyShift's Target ROAS Calculator
Instant resultsNumbers update as you type — no submit button, no page reloads.
Formula shownEvery result shows how it was calculated so you can check the maths.
Editable assumptionsRates, fees and defaults are pre-filled but always adjustable.
Private by designCalculations run in your browser. Nothing is stored or sent.
Frequently asked questions
How do I set tROAS in Google Ads?
Enter it as a percentage: a 2.5× target is 250% tROAS.
Should target ROAS be the same for all products?
No. Products with different margins need different targets; segment campaigns by margin band.
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Last reviewed: Built for: United States, United Kingdom, Canada, Australia Part of Ecommerce & Sellers