Guide

What is a good ACoS on Amazon India, by stage and by ad type?

A good ACoS on Amazon India is one below your break-even ACoS, the point where an ad sale makes zero profit. For most sellers that means 15 to 25% on mature Sponsored Products campaigns, 10 to 15% for the best ones, and up to 60% during a launch when you are buying rank and reviews. The ranges come from Seller Central India forum replies; what matters is your margin.

Formula
ACoS = ad spend divided by ad sales x 100
Mature Sponsored Products
15 to 25%; 10 to 15% for the best (forum replies)
Launch phase
40 to 60% tolerated (forum replies)
Rule
Good = below break-even ACoS

The forum answer, and why it is right

The most-read thread on this question on the Seller Central India forum, What is a good ACOS in amazon advertising, came from a handbags seller at 30% ACoS. Twelve replies later the consensus was: below your margin is good; launches tolerate 60%; a strong Sponsored Products campaign can reach 10%. Another thread, ACOS is so high, has a new seller aiming for under 30%.

Those are honest numbers, and they show why no single figure works. 30% is a loss for a low-margin accessory and a healthy result for a high-margin appliance. Blooprint's guide on ACoS, TACoS and ROAS covers the definitions; this page is about deciding your target.

Step one: your break-even ACoS

Break-even ACoS is the profit margin after Amazon fees and product cost, expressed as a share of price. If a product sells at ₹999, Amazon's referral and fulfilment fees take ₹250, and the product costs ₹330 landed, the margin is ₹419, or 42%. That is the ACoS at which an ad sale earns nothing. The eVanik blog uses a similar ₹999 example arriving at 42%.

Use the break-even calculator with your own fee lines. Do it per product, because fees vary by category and size, and a blended account figure hides the products that lose money.

Step two: a target by stage

StageTarget ACoSWhy
Launch, first 4 to 8 weeksUp to break-even, or above it on purposeYou are buying reviews, rank and search-term data; organic sales later repay it
Growth, rank risingBreak-even minus 5 to 10 pointsProfit on each ad sale while still bidding to win placements
Mature, rank heldBreak-even minus 15 to 20 points, often 15 to 25%Ads defend and top up organic; TACoS should be falling
Clearance or seasonal endWhatever clears stock before storage feesACoS matters less than the cost of holding inventory

Step three: a target by ad type

  • Sponsored Products, exact match on branded terms: lowest ACoS in the account, often under 10%, because shoppers already want you.
  • Sponsored Products, generic exact and phrase: the core; hold near your growth or mature target.
  • Sponsored Products, broad and auto: run higher; these are discovery campaigns, and their job is search terms to move into exact.
  • Sponsored Brands: a forum thread reports 50% and above against 10 to 15% for Sponsored Products in the same account. Judge it on new-to-brand sales and store traffic, not ACoS alone.
  • Sponsored Display: variable; retargeting can be efficient, but audience campaigns are awareness and should be capped.

ACoS is not the whole story

TACoS, ad spend divided by total sales, tells you whether ads are building organic sales or replacing them. An account at 25% ACoS and 8% TACoS is healthy; at 25% ACoS and 22% TACoS, nearly all sales are paid and the product has no organic base. ROAS is simply the inverse of ACoS: 25% ACoS is 4x ROAS. Our metrics conversion table maps these across marketplaces.

Managing to a target across many products

Once you have a target per product, the weekly job is finding the keywords and targets above it. In BlooprintAI you set the ACoS filter, sort by spend, and see the targets over target with their bids and conversion rates. Lower bids on the selected set in one action after reviewing the summary, or raise them on the ones well under target. The tool does not hold ACoS to a target on its own; it shows you the list and you act.

Frequently asked questions

Is 30% ACoS good on Amazon India?

It depends on margin. At 42% break-even it is profitable; at 25% break-even it loses money. The handbags seller in the India forum thread at 30% was told to compare with margin first.

What is a good ACoS for a new product on Amazon?

Up to break-even, and sometimes above it for the first four to eight weeks, because you are buying reviews and rank. Forum replies mention 60% as tolerable at launch.

What ACoS should I aim for on Sponsored Brands?

Higher than Sponsored Products. One forum thread reports 50% and above. Judge Sponsored Brands on new-to-brand orders and store traffic as well as ACoS.

How do I calculate break-even ACoS?

Price minus Amazon fees minus product cost, divided by price. On a ₹999 product with ₹250 fees and ₹330 cost, it is 42%. The break-even calculator does the arithmetic.

Is a lower ACoS always better?

No. A very low ACoS with low spend often means you are under-bidding and losing sales to competitors. Aim for the most sales you can get below your target, not the lowest ACoS.

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