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True ROAS Calculator: Google Ads ROAS after COD, RTO and returns

See what your Google Ads ROAS is worth after COD, RTO, returns, shipping, fees and GST.

  • Free to use
  • Runs in your browser
  • No sign-up

How to use the True ROAS Calculator

Read what the guide says

This is the True ROAS Calculator.

See what your Google Ads ROAS is worth after COD, RTO, returns, shipping, fees and GST.

Enter the ad spend, orders and conversion value for one period, such as last month,

and say whether the spend and the order values include GST.

Or press Try an example to fill in sample details.

Add your share of COD orders, the RTO rates for COD and prepaid orders,

your return rate, and your costs per order: product cost or margin, shipping both ways,

COD and gateway fees, and packaging.

Read your true ROAS, profit and break-even Target ROAS, look at the what-ifs,

then copy the summary or download the CSV file.

It runs in your browser, so nothing you type is uploaded.

Try it free on this page.

Runs in your browser. Your numbers are not uploaded.

From Google Ads, for one period

Use the same dates for every number, for example last month. Orders and value can come from your shop instead, for the orders your ads brought.

₹

Google Ads shows Cost before GST; the 18% GST is added on your invoice.

₹

"Conv. value" in Google Ads: the total order value counted for those orders.

Cash on delivery, RTO and returns

RTO (return to origin) is a parcel that comes back to you because the buyer refused it or could not be reached. Use your own courier and shop reports.

%

Share of all orders that are cash on delivery.

%

Out of 100 COD orders, how many come back refused or not delivered.

%

The same for orders paid online.

%

Out of 100 delivered orders, how many are returned and refunded.

%

RTO parcels are counted as back on the shelf; this is for customer returns.

Costs per order
₹

What the goods in one average order cost you.

₹

What you pay the courier to send one order.

₹

For each RTO parcel and each customer return.

₹

The courier's cash collection charge.

%

On each prepaid order's value.

₹

Box, filler, tape and labels.

Your goal
%

As a share of net revenue, after every cost above and the ads. Used for the second Target ROAS.

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About the True ROAS Calculator

Enter one period's ad spend, orders and conversion value from Google Ads, your share of cash on delivery orders, your RTO and return rates, and what an order costs you in products, shipping, fees and packaging. The calculator shows the ROAS Google Ads reports next to your true ROAS on the orders you kept, your profit after ads, POAS, and the Target ROAS to set to break even or to make the profit you want, with a step-by-step breakdown and what-ifs. It runs in your browser.

How it works

  1. Step 1

    Enter the ad spend, orders and conversion value for one period, such as last month, and say whether the spend and the order values include GST.

  2. Step 2

    Add your share of COD orders, the RTO rates for COD and prepaid orders, your return rate, and your costs per order: product cost or margin, shipping both ways, COD and gateway fees, and packaging.

  3. Step 3

    Read your true ROAS, profit and break-even Target ROAS, look at the what-ifs, then copy the summary or download the CSV file.

Why the ROAS in Google Ads looks better than your bank account

Google Ads shows Conv. value / cost: the value of the orders your tag counted, divided by the ad cost. It counts an order when it is placed. It does not know that a cash on delivery parcel came back unopened, that a customer returned the goods, or what you paid for the product, the courier and the payment gateway. This calculator takes each of those out, using your own rates and costs.

True ROAS, POAS and break-even

True ROAS here is the revenue from orders delivered and kept, before GST, divided by your ad cost. POAS divides the profit before ads by the ad cost, so 1 is break-even. Break-even ROAS turns that back into the number Google Ads reports, and the Target ROAS is the same figure as a percentage, which is how Google Ads takes it: conversion value ÷ cost × 100. These are our measures, worked out from your numbers.

What this calculator cannot do

It uses averages for one period: one order value, one product cost and one RTO rate for each payment type, so a shop with very different products should check them separately. It never signs in to Google Ads and cannot see which orders came back. Shipping and fee rates are yours to enter; we give no typical figures, and the GST settings are not tax advice.

Frequently asked questions

What is true ROAS?

It is the return on ad spend once you count only the orders that were delivered and kept. Google Ads divides the conversion value it counted by the ad cost, including orders that later came back as RTO or were returned. True ROAS in this calculator divides the revenue you kept, before GST, by the ad cost, with 18% GST added when you cannot claim it back.

How do I work out break-even ROAS with COD and RTO?

Work out the profit each order brings before ads, after RTO, returns, product cost, shipping, COD and gateway fees and packaging, as a share of the conversion value Google Ads reports. Break-even ROAS is 1 divided by that share. If ₹8 lakh of reported value leaves ₹2.9 lakh before ads, you need a reported ROAS of about 2.76, or a Target ROAS of 276%.

What Target ROAS should I set in Google Ads?

Google Ads takes Target ROAS as a percentage: conversion value ÷ cost × 100. This calculator gives the percentage that breaks even and the one that leaves your chosen profit. Google suggests starting from your average conversion value per cost over the last 4 weeks and warns that a target set too high can limit traffic, so move towards the profitable target in steps.

Can Google Ads see RTO and returned orders?

Not by itself: the tag counts an order when it is placed. You can upload conversion adjustments to retract an order that was refused or returned, or restate the value of a partial return, matched by the order ID your tag sends. Google accepts adjustments for about 54 days after the conversion, and value-based bidding then learns from the orders you kept.

Should I include GST in the numbers?

Google Ads shows Cost before the 18% GST on your invoice, so enter that, or the invoice amount and pick the option with GST. If your order values include the GST you collect, tick the box and enter your rate so it is taken out. Count GST on ads as a cost only if you cannot claim it back. Ask your accountant; this is not tax advice.

Sources and checks

Rules last checked

The True ROAS Calculator follows these official pages:

Scores, limits and suggestions marked "our checklist", "our measure" or "our suggestion" are ours, not Google's or the platform's. How our tools work

Related reading

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