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Free calculators / Ad Cost Calculator

Ad Cost Calculator

Does your advert make money?

An advert is worth running when a sale earns more than the advert cost to win it. Put in what you pay per click and how many visitors buy, and see what each sale really costs.

Your numbers

Clicks to win one sale
50
Advert cost per sale
$22.50
Profit left per sale
-$8.50
The most you can pay per click
$0.28

Each sale from this advert loses money. Pay less per click, or turn more visitors into buyers.

The kit tracks marketing spend each month against the profit from your orders, so you can see if it paid.

See the Back Office Kit, from $19

How the sum works

  1. Clicks to win one sale = 100 divided by the percent of visitors who buy.
  2. Advert cost per sale = cost per click times clicks to win one sale.
  3. Profit left per sale = profit per sale minus advert cost per sale.
  4. The most you can pay per click = profit per sale times the percent of visitors who buy.

Questions

Where do I find the percent of visitors who buy?

Your shop or advertising account reports it, often as the conversion rate: orders divided by visits. Use your own figure, because it varies widely between shops and products.

What if customers come back and buy again?

Then a first sale is worth more than its own profit. Add the profit you expect from repeat orders to the profit per sale, but only count what you have seen happen.

How do I make an advert pay?

There are three levers: pay less per click, turn more visitors into buyers with a better page, or earn more per sale with a higher price or a larger order.

This was one sum

The Back Office Kit runs all of them, for every product, together.

One Excel workbook that prices your products, tracks your stock, logs your orders and builds your invoices and wholesale line sheet. One payment of $19. Download the moment you pay.

The dashboard tab of the Back Office Kit: revenue, profit, cash, stock value and items to reorder.