your numbers
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projected monthly revenue
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Break-even ROAS
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how it's calculated
revenue = spend × ROAS
orders = revenue ÷ AOV
cost per order = spend ÷ orders
gross profit = (revenue × margin) − spend
break-even ROAS = 1 ÷ margin
( how to read it )
What counts as a good ROAS?
ROAS on its own tells you nothing about profit. A 4× ROAS is excellent on a 60% margin and loses money on a 20% margin - which is why the number that matters is your break-even ROAS: one divided by your gross margin. Anything above it is profit; anything below it is buying revenue at a loss.
Use average order value honestly. If you sell a ₹1,200 hero product but most carts are ₹1,900 because of bundles, model the ₹1,900 - your cost per order and order volume both move with it.
Treat the output as a target, not a forecast. It shows what the account has to deliver for the spend to work. Closing the gap between that target and reality is the job - feed quality, campaign structure, landing pages, and creative all move it.