Google Ads ROI Calculator - Calculate Your True Profit | ProfitSEM

Google Ads ROI Calculator

Calculate your true Google Ads ROI accounting for profit margins, customer lifetime value, and operating costs.

Know exactly if your campaigns are profitable—and by how much.

Your Campaign Data

$
$
%

e.g., 40 for 40% margin

$

Total revenue per customer over their lifetime

Your Results

Enter your data and click Calculate to see your ROI

Understanding Your Results

Cost Per Click (CPC)

How much you pay on average for each click on your ads. Lower CPC means more efficient campaigns.

Formula: Total Ad Spend ÷ Total Clicks

Conversion Rate

The percentage of clicks that turn into customers. Higher is better.

Formula: (Conversions ÷ Clicks) × 100

Cost Per Acquisition (CPA)

How much you spend to acquire one customer. Must be lower than your customer lifetime value to be profitable.

Formula: Total Ad Spend ÷ Total Conversions

ROAS (Return on Ad Spend)

For every $1 spent on ads, how much revenue you generate. A ROAS of 4x means $4 in revenue for every $1 spent.

Formula: Total Revenue ÷ Total Ad Spend

ROI (Return on Investment)

Your actual profit as a percentage of ad spend. This is the most important metric—it accounts for costs and margins.

Formula: (Profit ÷ Ad Spend) × 100

Lifetime Value (LTV) ROI

The long-term profitability including repeat purchases. Much more accurate for subscription or repeat purchase businesses.

Formula: (LTV Profit ÷ Ad Spend) × 100

Industry Benchmarks

Metric E-commerce SaaS Lead Gen
Avg CPC $1.50 - $3.00 $3.00 - $7.00 $2.00 - $5.00
Conversion Rate 2% - 5% 3% - 7% 5% - 10%
Target ROAS 4x - 6x 3x - 5x 5x - 10x
Target ROI 150% - 300% 200% - 400% 300% - 500%

Note: These are industry averages. Your results will vary based on product price point, market competition, and campaign optimization. Use these as guidelines, not absolutes.

How to Improve Your ROI

1

Increase Conversion Rate

Optimize your landing pages, simplify checkout, add trust signals, and test different offers.

2

Lower Cost Per Click

Improve Quality Score, use exact match keywords, add negative keywords, and target less competitive terms.

3

Increase Average Order Value

Add upsells, cross-sells, bundles, and free shipping thresholds to boost transaction size.

4

Maximize Customer Lifetime Value

Focus on retention, repeat purchases, subscriptions, and referrals to increase long-term value.

Want Us to Optimize Your Campaigns?

This calculator shows you the potential. We make it happen. Get a free profit analysis and custom roadmap.