Most ROAS benchmarks online are just revenue divided by spend, which ignores the only thing that decides whether ads make money: your margin. Here is the profit-first version. Real gross margin, returns, repeat rate, average order value and new-customer cost for twelve verticals, each sourced, plus the break-even ROAS each margin implies.
Find your exact target ROAS →| Industry | Real gross margin | Break-even ROAS | Returns | Repeat rate | Avg order value | New-customer CAC |
|---|---|---|---|---|---|---|
| Apparel / fashion | 55% (50–65%) | 1.8x | 28% | 24% | $85 | $70 |
| Beauty / cosmetics | 72% (65–80%) | 1.4x | 8% | 35% | $60 | $95 |
| Supplements / CPG | 70% (65–78%) | 1.4x | 5% | 40% | $55 | $89 |
| Electronics | 35% (25–45%) | 2.9x | 12% | 18% | $150 | $130 |
| Home / furniture | 42% (35–50%) | 2.4x | 12% | 15% | $200 | $65 |
| Jewelry & accessories | 60% (50–72%) | 1.7x | 15% | 15% | $180 | $80 |
| Pet supplies | 40% (30–50%) | 2.5x | 7% | 37% | $65 | $65 |
| Food & beverage | 42% (30–55%) | 2.4x | 10% | 32% | $70 | $55 |
| Baby & kids | 45% (35–55%) | 2.2x | 10% | 30% | $85 | $55 |
| Sports & outdoors | 45% (35–58%) | 2.2x | 13% | 21% | $150 | $70 |
| Footwear | 50% (40–60%) | 2.0x | 19% | 20% | $130 | $75 |
| Skincare / personal care | 70% (65–78%) | 1.4x | 5% | 38% | $55 | $95 |
| Eyewear | 65% (55–80%) | 1.5x | 25% | 16% | $150 | $110 |
| Bags & luggage | 55% (45–65%) | 1.8x | 16% | 15% | $150 | $85 |
| Candles & home fragrance | 60% (50–70%) | 1.7x | 6% | 32% | $55 | $60 |
| Toys & games | 42% (30–55%) | 2.4x | 10% | 22% | $85 | $60 |
| Automotive accessories | 45% (35–55%) | 2.2x | 18% | 22% | $200 | $75 |
| Health & wellness devices | 52% (40–65%) | 1.9x | 12% | 22% | $150 | $120 |
| Digital products / courses | 90% (80–95%) | 1.1x | 5% | 18% | $120 | $70 |
| General ecommerce | 50% (40–60%) | 2.0x | 15% | 26% | $110 | $75 |
Figures are medians; ranges in parentheses. Directional category norms, not promises about your business. Break-even ROAS is derived (1 ÷ real gross margin) and is the floor before overhead.
Your break-even ROAS is 1 divided by your real gross margin. At a 50% margin that is 2.0x; at 25% it is 4.0x. Below it, every new order loses money before you have paid a cent of overhead. That is the floor, not the target. Your target ROAS is higher, because it also has to cover overhead and leave the profit you want to keep. The calculator works your exact target out from your own numbers, and what is a good ROAS walks through the logic.
Calculate your target ROAS →Apparel / fashion stores run about a 55% real gross margin (typically 50–65%), so they break even on the product at roughly 1.8x ROAS. Below that, every new order loses money before overhead. A good target ROAS is higher than the break-even floor, because it also has to cover overhead and leave your profit margin.
Beauty / cosmetics stores run about a 72% real gross margin (typically 65–80%), so they break even on the product at roughly 1.4x ROAS. Below that, every new order loses money before overhead. A good target ROAS is higher than the break-even floor, because it also has to cover overhead and leave your profit margin.
Supplements / CPG stores run about a 70% real gross margin (typically 65–78%), so they break even on the product at roughly 1.4x ROAS. Below that, every new order loses money before overhead. A good target ROAS is higher than the break-even floor, because it also has to cover overhead and leave your profit margin.
Electronics stores run about a 35% real gross margin (typically 25–45%), so they break even on the product at roughly 2.9x ROAS. Below that, every new order loses money before overhead. A good target ROAS is higher than the break-even floor, because it also has to cover overhead and leave your profit margin.
Home / furniture stores run about a 42% real gross margin (typically 35–50%), so they break even on the product at roughly 2.4x ROAS. Below that, every new order loses money before overhead. A good target ROAS is higher than the break-even floor, because it also has to cover overhead and leave your profit margin.
Jewelry & accessories stores run about a 60% real gross margin (typically 50–72%), so they break even on the product at roughly 1.7x ROAS. Below that, every new order loses money before overhead. A good target ROAS is higher than the break-even floor, because it also has to cover overhead and leave your profit margin.
Pet supplies stores run about a 40% real gross margin (typically 30–50%), so they break even on the product at roughly 2.5x ROAS. Below that, every new order loses money before overhead. A good target ROAS is higher than the break-even floor, because it also has to cover overhead and leave your profit margin.
Food & beverage stores run about a 42% real gross margin (typically 30–55%), so they break even on the product at roughly 2.4x ROAS. Below that, every new order loses money before overhead. A good target ROAS is higher than the break-even floor, because it also has to cover overhead and leave your profit margin.
Baby & kids stores run about a 45% real gross margin (typically 35–55%), so they break even on the product at roughly 2.2x ROAS. Below that, every new order loses money before overhead. A good target ROAS is higher than the break-even floor, because it also has to cover overhead and leave your profit margin.
Sports & outdoors stores run about a 45% real gross margin (typically 35–58%), so they break even on the product at roughly 2.2x ROAS. Below that, every new order loses money before overhead. A good target ROAS is higher than the break-even floor, because it also has to cover overhead and leave your profit margin.
Footwear stores run about a 50% real gross margin (typically 40–60%), so they break even on the product at roughly 2.0x ROAS. Below that, every new order loses money before overhead. A good target ROAS is higher than the break-even floor, because it also has to cover overhead and leave your profit margin.
Skincare / personal care stores run about a 70% real gross margin (typically 65–78%), so they break even on the product at roughly 1.4x ROAS. Below that, every new order loses money before overhead. A good target ROAS is higher than the break-even floor, because it also has to cover overhead and leave your profit margin.
Eyewear stores run about a 65% real gross margin (typically 55–80%), so they break even on the product at roughly 1.5x ROAS. Below that, every new order loses money before overhead. A good target ROAS is higher than the break-even floor, because it also has to cover overhead and leave your profit margin.
Bags & luggage stores run about a 55% real gross margin (typically 45–65%), so they break even on the product at roughly 1.8x ROAS. Below that, every new order loses money before overhead. A good target ROAS is higher than the break-even floor, because it also has to cover overhead and leave your profit margin.
Candles & home fragrance stores run about a 60% real gross margin (typically 50–70%), so they break even on the product at roughly 1.7x ROAS. Below that, every new order loses money before overhead. A good target ROAS is higher than the break-even floor, because it also has to cover overhead and leave your profit margin.
Toys & games stores run about a 42% real gross margin (typically 30–55%), so they break even on the product at roughly 2.4x ROAS. Below that, every new order loses money before overhead. A good target ROAS is higher than the break-even floor, because it also has to cover overhead and leave your profit margin.
Automotive accessories stores run about a 45% real gross margin (typically 35–55%), so they break even on the product at roughly 2.2x ROAS. Below that, every new order loses money before overhead. A good target ROAS is higher than the break-even floor, because it also has to cover overhead and leave your profit margin.
Health & wellness devices stores run about a 52% real gross margin (typically 40–65%), so they break even on the product at roughly 1.9x ROAS. Below that, every new order loses money before overhead. A good target ROAS is higher than the break-even floor, because it also has to cover overhead and leave your profit margin.
Digital products / courses stores run about a 90% real gross margin (typically 80–95%), so they break even on the product at roughly 1.1x ROAS. Below that, every new order loses money before overhead. A good target ROAS is higher than the break-even floor, because it also has to cover overhead and leave your profit margin.
General ecommerce stores run about a 50% real gross margin (typically 40–60%), so they break even on the product at roughly 2.0x ROAS. Below that, every new order loses money before overhead. A good target ROAS is higher than the break-even floor, because it also has to cover overhead and leave your profit margin.
Compiled by Yehonatan Tav, paid media for ecommerce brands spending $50k–$500k/mo. Ranges consolidate 2024–2026 data and are directional.
Run your real margin, returns and overhead through the calculator for the exact ROAS to set in Meta.