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Advertising ROI Calculator

Compare attributed gross profit with advertising spend, and show both profit after ads and revenue ROAS.

01 / Inputs

Use your business numbers

Example values are loaded. Replace them with your own figures. Every field is required; enter 0 where it applies.

02 / Result

Your working numbers

Advertising ROI

200.00%

Attributed gross profit before ads
$30,000.00
Profit after ads
$20,000.00
Revenue ROAS (revenue ÷ ad spend)
5.00

How the math works

Attributed gross profit = attributed revenue × gross margin. Profit after ads = attributed gross profit - ad spend. Advertising ROI = profit after ads / ad spend × 100. ROAS = attributed revenue / ad spend.

ROI uses gross profit after advertising spend; ROAS uses revenue and is not profit. Gross profit is before ads and other operating costs. Keep attribution periods consistent across marketing calculators. This is channel-agnostic and can be used for Google LSA, Meta, Yelp, or other channels.

Planning estimate only, calculated locally in your browser. Verify figures with your accountant, lender, and actual records before making financial decisions.

Contractor field notes

Measure contractor advertising ROI, not just sales from ads

Sales attributed to Google LSA, Meta, Yelp, or another channel are not all profit. This calculator estimates gross profit using the entered gross margin, subtracts advertising spend, and compares the remaining contribution with the ad investment. It also reports revenue-based return on ad spend (ROAS).

Advertising ROI and ROAS

Gross profit = attributed revenue × gross margin. Contribution after ads = gross profit − ad spend. Advertising ROI = contribution after ads ÷ ad spend × 100. ROAS = attributed revenue ÷ ad spend.

Worked example

Spend $2,000 on ads that generate $20,000 attributed revenue at a 30% gross margin. Gross profit is $6,000; contribution after ads is $4,000; advertising ROI is $4,000 ÷ $2,000 × 100 = 200%; ROAS is $20,000 ÷ $2,000 = 10×. The $4,000 is before overhead and other expenses not included in gross margin.

Common estimating pitfalls

  • Use revenue genuinely attributable to the campaign, not all company sales.
  • A high ROAS can still leave little profit when job margins are low.

Frequently asked questions

What is the difference between ROI and ROAS?

ROAS compares revenue with ad spend. This ROI estimate compares gross profit less ad spend with ad spend, so it reflects the entered job margin.

Does this ROI include company overhead?

Not unless those costs are already reflected in your entered gross-margin assumption. The result is contribution after ads, not a full company net-profit calculation.

Can I compare Google LSA, Meta, and Yelp?

Yes, using consistent attribution windows, spending categories, and realistic margins for each channel’s projects. The calculator does not connect to or fetch data from those platforms.