Metrics & KPIs

Break-Even ROAS

By the AdFlint research team · Last reviewed July 2026

The ROAS at which gross profit exactly covers ad spend, calculated as one divided by your gross margin expressed as a decimal.

It converts margin into a minimum acceptable return, so a forty percent margin needs two and a half times just to break even. Anything below that loses money however good the platform's number looks. Two errors recur: using net rather than gross margin, and forgetting that returns, discounts, and shipping subsidies quietly lower the margin the calculation depends on.

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Break-Even ROAS compared with

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