E-commerce ROI Calculator
Evaluate product and campaign returns: ROI, annualized CAGR, payback period and ROAS — with a full cost breakdown. All calculations run locally in your browser.
Results
Cost breakdown will be listed here (COGS, first-mile, commission, ads, refund loss, fixed costs).
Revenue Breakdown
Scenario Simulation
See how price / cost changes affect ROI (logic to be implemented by IDE).
Scenario results will be shown here.
What Is ROI for an E-commerce Product?
ROI measures how much profit you earn relative to what you invested: (Net Profit ÷ Investment) × 100. It tells you whether a product or campaign is worth the capital you put in.
ROI vs ROAS — Don't Confuse Them
ROI compares net profit to total investment. ROAS compares revenue to ad spend only. ROAS ignores other costs, so a high ROAS can still be unprofitable. ROI is the fuller picture; ROAS is a quick ad-health check.
Why Time Matters: ROI vs Annualized CAGR
The same 30% ROI means very different things if earned in 1 month vs 12 months. Annualized ROI (CAGR) normalizes for time so you can compare opportunities fairly.
Common Mistakes When Calculating E-commerce ROI
- Using revenue instead of profit
- Confusing ROI with ROAS
- Ignoring refunds and chargebacks
- Forgetting time period