Pre-Ad Margin & Break-Even ROAS by Selling Price
Assumptions: 40% COGS, 15% platform fee, $6.50 shipping unit economics
As of: November 2026
| $30 Price (40% COGS, 15% fee) | Margin $7.0 (BEP ROAS 428%) |
| $50 Price (40% COGS, 15% fee) | Margin $16.0 (BEP ROAS 312%) |
| $80 Price (40% COGS, 15% fee) | Margin $29.5 (BEP ROAS 271%) |
| $120 Price (40% COGS, 15% fee) | Margin $47.5 (BEP ROAS 252%) |
| $200 Price (40% COGS, 15% fee) | Margin $83.5 (BEP ROAS 239%) |
Why Break-Even ROAS Is Your Most Important E-Commerce Metric
Break-Even ROAS equals `1 / Pre-Ad Profit Margin %`. If your $48 product leaves $19.20 after COGS, fulfillment, and referral fees (a 40% pre-ad margin), your Break-Even ROAS is 2.50x (250%). Any ad campaign running below 2.50x ROAS loses money on the first order.
Boosting Net Margin via Average Order Value (AOV) Bundles
Because fulfillment costs and ad acquisition costs (CPA) are largely fixed per transaction, introducing 2-pack or 3-pack bundles raises AOV and often increases net profit per order by 60% to 120%.