Your ROAS target is a guess until it knows your margins
For founders buying Meta or Google ads against a ROAS number someone once said was good.
A 2.5x ROAS is great at 70% contribution margin and a slow leak at 35%. Most brands set ROAS targets by folklore, then scale campaigns that lose money on every conversion.
How Lytix solves it
1. Lytix computes your real contribution margin
From your actual COGS, shipping, fees and discounts, per product and blended.
2. Your break-even ROAS is derived, not guessed
One divided by contribution margin ratio. It updates as your costs and mix change.
3. Every channel is judged against it
Meta and blended MER are shown with margin per channel, so a campaign below break-even cannot hide inside an average.
4. The brief flags the burners
When a campaign runs below break-even, the morning brief names it and recommends the move.
What this saves you
- Ad spend scaled into campaigns that were never profitable
- Debates settled by opinion instead of your own cost structure
- Weekly manual ROAS-to-margin reconciliation
Find out what ROAS your store actually needs
Use the free break-even calculator, or connect Shopify and let Lytix track it live.
Scan my store free →Free · no signup · no credit card. Lytix itself is $99/month after a 7-day free trial.
Common questions
What is break-even ROAS?
The return on ad spend at which an order neither makes nor loses money, equal to 1 divided by your contribution margin ratio after COGS, shipping, fees and discounts.
Is there a free calculator?
Yes, the free break-even ROAS calculator on this site computes it from your numbers in seconds, no signup.
Last updated: 2026-07-18. Facts about third-party tools are checked periodically; if you spot something outdated, email support@getlytix.com and we will fix it.