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The ROAS denotes revenue of ad spend & it indicates if you are running your online business or webpage on profit or loss. You have to know the ads spend & the revenue to know the total outcome from the calculator & the more ROAS ratio or percentage is, the more profit you will have.
You will have the option to directly input the information & have the result on the calculator; it’s easy to operate.
What is ROAS Calculator Used for?
Let’s see the uses of ROAS Calculator:
- You have to make sure that your revenue of ad spend is above 400% because less than that is a loss project & a calculator will help you to find that.
- Moreover, you can find out if your webpage is popular or not, people are liking your content or not through the ROAS.
How to Calculate Return On Sales (ROAS) Ratio?
If you want to calculate the return on ad spend (ROAS) or Return on sales (ROS) ratio manually then follow the below formula. Note: ROAS and ROS follow the same formula.
ROAS= (Revenue ÷ Campaign Cost) x 100%
Example of ROS/ROAS calculation:
Suppose your generated revenue 15000 and your campaign cost was 3000.
Return on ad spend = (15000 ÷ 3000) x 100%
=5 x 100%
=500%
How to Calculate ROAS in Excel?
You can calculate Facebook, AdWords, Amazon, dropshipping and any type of campaign ROAS in excel just a simple formula. If you can do it our online calculator just 2-5 seconds!
If you want to know that how to calculate ROS in Excel then arrange a excel sheet like the below table.
| A | B | |
| 1 | Revenue: | $ |
| 2 | Campaign cost: | $ |
| 3 | ROAS: | =B1/B2 |
Type the =B1/B2 on B3 cell and choose the format of your B3 cell is Percentage.
You can also follow the below screenshot.
What is a Good ROAS for Facebook Ads?
4:1 ratio is good for Facebook ads. That’s means if your budget is $1 and your generated revenue is $4 then it’s a good ratio.
Is a higher return on sales better?
YES. It’s indicate the the company perform well in their field.