CPC ROI Simulator
A high-traffic PPC campaign can still lose money. This simulates your profit per click and campaign ROI from spend, CPC, conversion rate, and order value.
Break-even math: you need conversion rate ≥ CPC ÷ (AOV × margin) to break even. Simulation: clicks = spend ÷ CPC; orders = clicks × conversion rate; profit = orders × AOV × margin; net = profit − spend. ROAS vs ROI: ROAS = revenue ÷ spend (gross); ROI includes your margin and shows true net. Reality check: CPC and CVR estimates from a planner are optimistic — run the sim with your actual campaign numbers.
FAQ
What is a good ROAS?
A common target is 4x ROAS (revenue ÷ spend), but what matters is net profit after your margin. At a 40% margin, you need about 2.5x ROAS to break even on a $2 CPC.
How do I calculate break-even conversion rate?
Divide your cost per click by (average order value × profit margin). If your real conversion rate is below that, the campaign loses money at your current CPC and AOV.
Why is profit per click the most useful number?
It tells you, per click, whether you're making or losing money after product cost. A campaign can have great ROAS yet lose money if the margin is thin.
Figures are editable example defaults for modeling, not quotes or advice. Financial, tax, and medical outcomes vary with your situation — verify with a qualified professional (CFP, CPA, tax advisor, or veterinarian).