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Profitability
Advertising ROI

TACoS vs RoAS

Essential Amazon seller metric for profitability

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
TierRange / Signal
GoodTACoS 8-15% and RoAS 4x+ — mature brand, strong organic
AverageTACoS 15-25% and RoAS 2-4x — most Sponsored Products setups
Watch outTACoS 25%+ and RoAS under 2x — advertising is compressing net margin
Frequently Asked Questions

Where to Find TACoS vs RoAS

TACoS vs RoAS is measured in Percent / Ratio and reported through Advertising + Business Reports. Data is typically updated daily.

Note:

Track both: RoAS to tune bids, TACoS to catch ad dependence.

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