Should I optimize for TACoS or RoAS?

Optimize campaigns for RoAS at the bid and keyword level. Steer the portfolio using TACoS. RoAS answers 'is this campaign profitable?' TACoS answers 'is my brand becoming ad-dependent?'

What is a good TACoS on Amazon?

8-15% is healthy for a mature brand with organic ranking. 15-25% is typical for growing brands. Anything above 25% for months on end signals ad dependence.

Can TACoS go down while RoAS stays flat?

Yes, and that is the ideal pattern. It means organic sales are growing faster than ad spend while your campaigns keep earning the same per dollar.

How does Nova track TACoS and RoAS together?

Nova pulls Advertising API data and Business Reports into the same P&L view, so you can filter by ASIN, brand, or portfolio and see both metrics daily, weekly, or over the last 15 months.

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Profitability

Advertising ROI

TACoS vs RoAS

Essential Amazon seller metric for profitability

What Nova measures

27.2%

ACoS averaged 27.2% of ad-attributed sales over the twelve months to August 2026 on a fixed panel of several hundred Amazon sellers running ads continuously.

September 2025 to August 2026.

6.42%

TACoS averaged 6.42% of total sales over the twelve months to August 2026 on a fixed panel of several hundred Amazon sellers running ads continuously.

September 2025 to August 2026.

3.68x

ROAS averaged 3.68 times ad spend over the twelve months to August 2026 on a fixed panel of several hundred Amazon sellers running ads continuously.

September 2025 to August 2026.

Source: Nova first-party panel, methodology

What is TACoS vs RoAS?

TACoS (Total Advertising Cost of Sales) measures ad spend as a percentage of your total sales, organic and paid combined. RoAS (Return on Ad Spend) measures the revenue generated for every dollar of ad spend. TACoS is your portfolio-level efficiency signal. RoAS is your campaign-level return signal. Use both.

Data Source

Advertising + Business Reports

Update Frequency

Daily

Measurement Units

Percent / Ratio

Available at: Account, Brand, Campaign

Formula

TACoS = Ad Spend / Total Sales × 100 | RoAS = Ad Sales / Ad Spend

Worked Example

You spent $2,000 on ads. Those ads drove $8,000 in ad-attributed sales. Total sales (organic + paid) were $20,000. RoAS is 8000 / 2000 = 4.0 (you earn $4 for every $1 spent). TACoS is 2000 / 20000 × 100 = 10%. RoAS says the campaigns are efficient. TACoS says advertising is claiming 10% of your top line, which is healthy for a mature brand.

Typical ranges

Tier	Range / Signal
Good	TACoS 8-15% and RoAS 4x+ — mature brand, strong organic
Average	TACoS 15-25% and RoAS 2-4x — most Sponsored Products setups
Watch out	TACoS 25%+ and RoAS under 2x — advertising is compressing net margin

Frequently Asked Questions