How the Target ACoS Calculator works
Target ACoS is the practical ceiling for your campaigns: the ACoS at which you still earn the profit margin you want after advertising.
Formula
- Target ACoS = Margin before ads − Desired margin
- Target ROAS = 100 ÷ Target ACoS
Example
36% − 15% = 21% target ACoS (about 4.8 ROAS).
Margin before ads %: 36Desired final margin %: 15
Frequently asked questions
Should launch ACoS be higher?
Usually yes. Many sellers accept break-even or slightly negative ACoS for the first weeks to gain ranking, then tighten to target.
