Free tool

ACoS calculator for Amazon ads

ACoS (advertising cost of sales) is ad spend divided by ad sales, shown as a percentage. Enter the two numbers from your Amazon campaign report and this calculator returns ACoS and its inverse, ROAS. It works for Amazon India, Amazon UAE and any marketplace that reports ad-attributed sales.

Formula
ACoS = ad spend ÷ ad sales × 100
Inverse
ROAS = ad sales ÷ ad spend
Lower is
Better, until it starves impressions
Ceiling
Your break-even ACoS, which is your margin before ads

Calculate ACoS

Take ad spend and ad-attributed sales for the same period and the same campaign, ad group or keyword.

ACoS: –ROAS: –

Worked example: a Sponsored Products campaign spent ₹3,000 last week and Amazon attributed ₹12,000 of sales to it. ACoS is 3,000 ÷ 12,000 × 100 = 25%. ROAS is 12,000 ÷ 3,000 = 4x. Both describe the same result; ACoS is the share of ad revenue that went back into ads, ROAS is how many rupees came back per rupee spent.

Attribution matters. Amazon counts a sale as ad-attributed if it happens within a window after the click (seven days for Sponsored Products in the standard reports), so last week's ACoS will fall a little over the following days as late orders are added.

Is 25% a good ACoS?

There is no universal answer, because ACoS is only meaningful next to your margin. A 25% ACoS is profitable on a product with a 40% margin before ads and loss-making on a product with 20%. The number to compare against is break-even ACoS, which equals your profit margin after cost of goods and marketplace fees but before advertising.

For a launch you may run above break-even on purpose to build reviews and rank; for a mature product you want ACoS comfortably below it. Amazon seller forum threads from India regularly mention sellers targeting under 30%, but that is a habit, not a benchmark.

ACoS by level

The same formula applies at every level, and the useful comparison is between levels.

LevelWhat a high ACoS usually meansFirst thing to check
AccountSpend is spread across too many weak keywordsShare of spend in keywords with zero orders
CampaignBids or placements too aggressive for the conversion rateTop-of-search adjustment and CPC vs bid
KeywordWrong match type or irrelevant trafficSearch terms behind the keyword
ProductPrice or listing converts poorlyConversion rate against the category

From one calculation to the whole account

Calculating ACoS for one keyword is quick. Calculating it for four thousand and acting on the result is where sellers lose a day a week. BlooprintAI puts every keyword and target in one filterable table with ACoS, CPC and CVR, so you can pull out everything above 40% with more than 20 clicks and change those bids together.

Frequently asked questions

What is the ACoS formula?

ACoS = ad spend ÷ ad-attributed sales × 100. ₹3,000 of spend on ₹12,000 of ad sales is 25%. It is the percentage of ad revenue that went back into advertising.

How is ACoS different from ROAS?

They are inverses. ROAS = ad sales ÷ ad spend, so 25% ACoS is 4x ROAS. Amazon reports both; Flipkart reports only ROI, which is calculated like ROAS.

What is a good ACoS on Amazon India?

Anything below your break-even ACoS, which is your margin before ads. A 25% ACoS is good on a 40% margin product and a loss on a 20% margin product. Category averages are less useful than your own margin.

Why does my ACoS change after the week ends?

Amazon attributes orders to ad clicks for a window after the click, so sales are added for days after the spend. ACoS for a recent period falls slightly as those orders arrive.

Does ACoS include GST on ad spend?

Amazon's reports show ad spend before GST. If you want ACoS on what you actually pay, multiply spend by 1.18 before entering it.

Ready to Transform Your Marketplace Ads?

Join 500+ brands powered by our team with Blooprint AI

Start 7-Day Free Trial Book a Demo