SocialMediaAdsBudgetCalculator—EstimateReach,Clicks,Sales&ROAS
Plan your Social Media ad spend: enter budget, CPM, CTR and conversion rate to estimate impressions, clicks, cost per sale, revenue and ROAS.
Defaults are only examples. Use numbers from your own ads manager once your campaign runs.
Estimated ROAS
4.00x
Profitable-looking
Impressions
66,667
Clicks
800
Cost per click
Rs 12.5
Sales
16
Cost per sale
Rs 625
Revenue
Rs 40,000
Tip: ROAS doesn’t include product and delivery costs. If your profit margin is 40%, you need a ROAS above 2.5x just to break even.
What the Ad Budget & ROAS Calculator does
The Ad Budget and ROAS Calculator estimates what a social media ad budget might return before you spend it. You enter five numbers: your total ad budget, the CPM (cost per 1,000 impressions), the CTR (click-through rate), the conversion rate after a click, and your average order value.
From those it works out estimated impressions, clicks, cost per click, number of sales, cost per sale, revenue and ROAS, which is revenue divided by ad spend. It also labels the result as profitable-looking, break-even zone or losing money. The default values are only examples. The calculator is most useful once you replace them with real numbers from your own ads manager after a few days of spend.
How to use it
- 1Enter your total ad budget in rupees, the amount you plan to spend on the campaign.
- 2Enter the CPM. For a new account, use an estimate and update it with your real CPM later.
- 3Enter the CTR as a percentage, meaning how many people who see the ad click it.
- 4Enter the conversion rate after the click, the percentage of clickers who buy, book or sign up.
- 5Enter your average order value and read the estimated sales, cost per sale and ROAS on the right.
Example
Input
Illustrative numbers: budget Rs 20,000, CPM Rs 200, CTR 1%, conversion rate 1.5%, average order value Rs 3,000.
Sample output
- Impressions: 20,000 ÷ 200 × 1,000 = 100,000. Clicks: 1% of 100,000 = 1,000, so cost per click is Rs 20.
- Sales: 1.5% of 1,000 = 15. Cost per sale: 20,000 ÷ 15 = about Rs 1,333. Revenue: 15 × 3,000 = Rs 45,000.
- ROAS: 45,000 ÷ 20,000 = 2.25x, which the calculator places in the break-even zone.
If your profit margin is 40%, each Rs 3,000 sale leaves about Rs 1,200 before ad costs, which is less than the Rs 1,333 cost per sale. A ROAS that looks positive can still lose money, so always compare cost per sale with your profit per order.
Tips for better results
- Work out your break-even ROAS first: divide 1 by your profit margin. At a 40% margin you need above 2.5x just to break even.
- Change one input at a time to see which lever matters most. Often a small improvement in conversion rate helps more than a cheaper CPM.
- Raising your average order value with bundles or a free-delivery threshold improves ROAS without touching the ads.
- Include delivery charges, returns and cash-on-delivery refusals in your margin if they are common in your business.
- Recalculate after three to seven days of real spend, using your actual CPM, CTR and conversion rate.
Mistakes to avoid
- Treating the estimate as a promise. It is a planning tool, and real results depend on your ad, offer and website.
- Counting ROAS as profit. ROAS ignores product, packaging and delivery costs.
- Using another business's CPM or CTR as your own. These vary a lot by niche, country and season.
- Scaling the budget before you know your real cost per sale.
Platform by platform
Each platform has its own habits. Here is how to use the results on each one — open a platform for a version tuned to it.
Frequently asked questions
What is ROAS?+
Return on ad spend = revenue from ads ÷ ad spend. A ROAS of 3 means you earned Rs 3 for every Rs 1 spent (before product costs).
Where do I find my CPM and CTR on Social Media?+
In the platform’s ads manager reporting. For a new account, use the estimates as a starting point and replace them with real numbers after a few days of spend.
Is the Ad Budget & ROAS Calculator free?+
Yes. It runs in your browser with no daily limit and no account needed.