ROAS Scenario Comparison

Why compare scenarios?

A single ROAS threshold can hide the effect of pricing, discounts and cost changes. This tool keeps the method consistent while allowing three sets of economics to be viewed together.

Useful comparisons

Test current price against a planned increase, standard orders against discounted orders, or different product bundles. Enter net revenue after expected discounts and refunds, then include all relevant order-level variable costs.

Reading the output

Break-even ROAS uses all pre-ad contribution as acquisition budget. Target ROAS reserves the profit amount you specify. When costs plus profit equal or exceed revenue, the scenario has no remaining budget for acquisition.

FAQ

Can I compare different currencies?

Use any one currency, but keep every field in the same currency. Ratios remain dimensionless.

Does this replace a forecast?

No. It is a focused sensitivity tool. A complete forecast should also consider volume, fixed expenses, cash flow and uncertainty.

See the methodology and our worked case studies.