Google Ads ROI Calculator
Google Ads ROI Calculator
Formulas
Clicks = Ad spend ÷ CPC Conversions = Clicks × Conversion rate ÷ 100 Revenue = Conversions × AOV Profit = Revenue − Ad spend ROI % = Profit ÷ Ad spend × 100.
PPC terms explained
Read each formula label below in plain language before you enter numbers.
Input terms
- Ad spend
- Total money you plan to spend on Google Ads for the period. ROI is measured against this cost.
- CPC
- Cost per click — average amount paid each time someone clicks your ad. Lower CPC buys more clicks for the same budget.
- Conversion rate (%)
- Share of clicks that complete a goal (purchase, signup, lead). Example: 3% ≈ 3 conversions per 100 clicks.
- AOV
- Average order value — average revenue per conversion. For lead-gen, use average lead value or a customer-value proxy.
Derived metrics (in formulas)
- ClicksAd spend ÷ CPC
- How many ad clicks your budget can buy at the assumed CPC.
- ConversionsClicks × Conversion rate (%) ÷ 100
- Estimated completed goals (sales, signups, leads) from those clicks.
- RevenueConversions × AOV
- Total sales dollars the campaign is expected to generate at your assumed conversion rate and AOV.
Output terms
- ProfitRevenue − Ad spend
- Money left after paying for ads, before product COGS, shipping, refunds, overhead, or taxes.
- ROIProfit ÷ Ad spend × 100
- Return on ad spend as a percentage. +100% ROI means $2 revenue for every $1 spent on ads.
Results
Revenue
$750.00
Profit
-$250.00
ROI
-25%
How to use
- Enter your ad spend, cost per click (CPC), conversion rate (%), and average order value (AOV).
- Review estimated revenue, profit, and ROI % in the results.
- Use sample data or copy results to share campaign estimates with your team.
FAQ
How is revenue calculated?
Clicks = Ad spend ÷ CPC. Conversions = Clicks × Conversion rate ÷ 100. Revenue = Conversions × AOV.
How is profit calculated?
Profit = Revenue − Ad spend. This is the net return after paying for clicks, before other business costs like COGS or overhead.
What is ROI % for Google Ads?
ROI % = Profit ÷ Ad spend × 100. A positive ROI means revenue exceeded ad spend; negative ROI means the campaign lost money on a revenue basis.
What is AOV?
AOV (average order value) is the average revenue per conversion. Use your historical ecommerce or lead-value data for realistic estimates.
Does this include product costs or margins?
No. This calculator compares ad revenue to ad spend only. Subtract COGS or gross margin separately for true net profit.
Is my data uploaded?
No. All calculations run locally in your browser.
Introduction
A Google Ads ROI calculator helps marketers and business owners estimate whether paid search spend is likely to pay off before or after a campaign runs.
Enter ad spend, CPC, conversion rate, and AOV. The tool estimates revenue, profit, and ROI % using standard PPC funnel math.
Formulas
Clicks = Ad spend ÷ CPC
Conversions = Clicks × Conversion rate ÷ 100
Revenue = Conversions × AOV
Profit = Revenue − Ad spend
ROI % = Profit ÷ Ad spend × 100
PPC terms explained
Read each formula label below in plain language before you enter numbers.
Input terms
| Term | Meaning |
|---|---|
| Ad spend | Total money you plan to spend on Google Ads for the period — your campaign budget or actual spend. ROI is measured against this cost. |
| CPC | Cost per click — the average amount you pay each time someone clicks your ad. Lower CPC buys more clicks for the same budget. |
| Conversion rate (%) | The share of clicks that complete a goal (purchase, signup, lead). Example: 3% means about 3 conversions per 100 clicks. |
| AOV | Average order value — average revenue per conversion. For lead-gen campaigns, use average lead value or a customer-value proxy. |
Derived metrics (in formulas)
| Term | Formula | Meaning |
|---|---|---|
| Clicks | Ad spend ÷ CPC | How many ad clicks your budget can buy at the assumed CPC. |
| Conversions | Clicks × Conversion rate ÷ 100 | Estimated completed goals (sales, signups, leads) from those clicks. |
| Revenue | Conversions × AOV | Total sales dollars the campaign is expected to generate at your assumed rate and AOV. |
Output terms
| Term | Formula | Meaning |
|---|---|---|
| Profit | Revenue − Ad spend | Money left after paying for ads, before product COGS, shipping, refunds, overhead, or taxes. |
| ROI % | Profit ÷ Ad spend × 100 | Return on ad spend as a percentage. +100% ROI means $2 revenue for every $1 spent on ads; −25% means you lost 25¢ per ad dollar on a revenue basis. |
When to use this tool
- Forecast ROI before launching a new Google Ads campaign
- Compare scenarios with different CPC, conversion rate, or AOV assumptions
- Explain campaign economics to stakeholders with simple numbers
- Sanity-check whether current metrics justify your ad budget
Limitations
This is a simplified model. It assumes uniform CPC and conversion rate across all clicks, ignores attribution windows, impression share, seasonality, and post-click costs (shipping, refunds, COGS). Use Google Ads reporting and margin analysis for production decisions.