It is a tool that estimates the revenue and return on ad spend your advertising budget could generate. You enter your budget, cost per click, conversion rate, and average order value, and the calculator shows clicks, orders, revenue, and ROAS.
Ad Spend & Revenue Calculator
This free ad spend and ROAS calculator shows how a change in conversion rate could change your orders, revenue, and return on ad spend. Enter your ad spend, cost per click, two conversion rates, and average order value to compare the two scenarios.
Use the CalculatorBuilt and reviewed by the Clustox AI Commerce team · Last updated October 2026
Define Your Scenario
Illustrative values are provided. Replace them with your own figures.
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Calculation method
Know What Your Scenario Includes
Clicks = ad spend ÷ cost per click. Revenue = clicks × conversion rate × average order value. ROAS = revenue ÷ ad spend.
Use the result in context
ROAS describes revenue relative to advertising spend. It does not include product costs, margins, returns, or operating expenses.
Keep the measurement period and currency consistent. This is a scenario, not an AI forecast. Results across tools may overlap and should not be added together.
Worked example
With USD 50,000 in ad spend and a USD 2 cost per click, you receive 25,000 clicks. At a 2% conversion rate that is 500 orders; at a USD 150 average order value, revenue is USD 75,000 and ROAS is 1.5×. At a 2.5% conversion rate, orders rise to 625, revenue to USD 93,750, and ROAS to 1.88×, a USD 18,750 difference with the same budget.
Key terms
- ROAS (return on ad spend)
- Revenue attributed to advertising divided by ad spend. A ROAS of 1.5× means USD 1.50 of revenue for every USD 1 spent.
- Cost per click (CPC)
- The average amount you pay each time someone clicks your ad. Ad spend divided by CPC gives the number of clicks.
- Conversion rate
- The share of clicks that become orders. A 2% rate means 2 orders for every 100 clicks.
- Average order value (AOV)
- The average revenue per order. Orders multiplied by AOV gives revenue.
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Frequently Asked Questions
ROAS equals revenue divided by ad spend. If USD 50,000 of ads generates USD 75,000 in revenue, ROAS is 1.5×. It measures revenue relative to advertising cost and does not include product costs, margins, returns, or operating expenses.
It divides ad spend by cost per click to estimate clicks, multiplies clicks by the conversion rate to estimate orders, and multiplies orders by average order value to estimate revenue. It repeats this at your scenario conversion rate for comparison.
With the same ad spend and cost per click, a higher conversion rate produces more orders and more revenue, so ROAS rises. In the example, moving from 2% to 2.5% raises revenue by 25% and ROAS from 1.5× to 1.88×.
It depends on your gross margin and costs. A ROAS above your break-even ROAS means advertising revenue covers product and advertising costs. Compare results with your own margin, not with a generic benchmark.
Divide 1 by your gross margin. With a 40% gross margin, break-even ROAS is 1 ÷ 0.40 = 2.5×. Below that level, each order costs more to acquire than the margin it earns, before other operating costs.
ROAS compares revenue with ad spend only. ROI compares profit with total investment, so it also reflects product costs, fees, returns, and operating expenses. A healthy ROAS does not guarantee a positive ROI.
Use your ad platform for ad spend and cost per click, your analytics or store reports for conversion rate, and your order data for average order value. Keep the same reporting period and currency for every figure.
No. It models only the figures you enter, using a fixed budget, cost per click, and order value. Actual outcomes depend on the changes you implement, market conditions, creative, and how results are measured.
Yes. Download a text summary directly from this page. It includes your current entries, so review its contents before sharing it with your team.
No. Your entries stay in your browser and reset when the page reloads. Refer to the Privacy Policy for information about website data handling.
Read our Privacy PolicyAI can personalize product discovery, recommendations, and marketing messages, and automate campaign workflows, which may lift conversion and order value. Validate any uplift with testing before relying on it in a business case.
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