Here is your break-even calculator
Put in your price, your costs and your returns rate. The number at the bottom is the ROAS your ads have to beat before they make you a penny.
Your break-even ROAS
The ROAS where your ads stop losing money and start making it. Drag the sliders.
What you charge the customer.
What it costs you to make or buy it.
Your average shipping cost per order.
Estimate of returns as a % of sales.
Typically 1.5 to 2.5% (e.g. Shopify Payments).
Registered counts VAT at 20% of revenue, same as the calculator sheet.
Packaging, inserts, any other % of revenue.
What you pay your ad manager or agency each month.
The fee is fixed, so what it does to your break-even depends on how much you spend.
Your break-even ROAS
You keep £6.42 of every £13.50 sale after costs, returns and VAT
A guide, not your accounts: this runs on the averages you put in, counts VAT as a flat 20% of revenue and can't see discounts, bundles or your overheads. Close enough to judge your campaigns by. For the exact read on your account, that's what the audit is for.
That number is the one to judge every campaign by
I have emailed you this link as well, so you can come back and run it again whenever your prices or your costs change. Any questions, just hit reply on that email.
Gem x