Your margin decides your break-even ROAS.
Your break-even ROAS decides the budget Meta needs to optimise properly.
Most brands have never worked out either number, and it's the reason ads quietly lose money.
No signup. Nothing is sent anywhere, it all runs in your browser.
Your numbers
The average amount a customer spends in one order. Add up a month of sales and divide by the number of orders, or pull it straight from Shopify.
What you pay your supplier, or what the materials cost. Not postage.
Postage, packaging, pick and pack - minus anything the customer pays towards it.
Defaults to standard Shopify Payments / Stripe rates for your currency.
Roughly what share gets refunded. Leave at 0 if you are unsure.
Profit left from each order after you've paid to win that customer. Not sure? Start with break even.
Optional - for a sharper read
ROAS is revenue divided by ad spend - Ads Manager shows it. Leave blank if you've never run ads.
What you spend now, or what you'd be willing to spend.
Your numbers, worked out
Contribution margin is what's left from each order before you've paid for the customer. Everything above is derived from it.
We'll send your break-even figures and the budget maths so you've got them to hand. No sequence, no spam.
Knowing your target ROAS tells you whether an ad is working. The budget maths tells you whether Meta was ever able to find out.
Whatever is left after product, shipping, fees and returns is what you have to spend winning a customer. Divide the order value by it and that is your break-even ROAS, the line everything else gets measured against.
Meta's delivery system does its best work once an ad set has built up roughly 50 conversions a week. At your cost per order, that is a specific daily figure, and it is usually higher than people expect going in.
That threshold is reached per ad set, not per account, so thinly spread budget takes longer to build real signal anywhere. Keeping spend concentrated is the single fastest way to build it.
Two products, same ad spend. The higher ROAS looks like the better spend, until margin gets factored in.
$100 order, 50% margin
$150 order, 75% margin
The 2x made more money. This is the entire reason this calculator leads with break-even ROAS instead of whatever number your ads dashboard shows you.
Not a shortfall, a starting point. The gap between what you have and what the threshold needs is closed by where the budget goes, not by spending more of it:
A single clear signal builds faster than the same money split thin. Concentrating spend, rather than spreading it, is what gets you to full signal soonest.
Broad targeting gives Meta's system room to find real buyers rather than narrowing to people who'll click. At this budget, less constraint outperforms tight interest-stacking.
Changing targeting, bid strategy or the optimisation event resets learning back to day one, so the biggest lever is often patience.
Server-side events count toward the threshold too, so proper tracking is a direct, practical way to add signal.
Thirty minutes, no pitch deck. Bring your margins and your account and you'll get a straight read on whether paid social can work at your size - including if the answer is not yet.
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