Dropshipping
Dropshipping Ad Spend Calculator
Set your target profit first, then let the calculator tell you the most you can spend to win one order — your cost-per-acquisition ceiling.
A ceiling is a limit, not a budget to spend in full: if your real ad cost per order sits above it, each extra order shrinks profit even while revenue grows. Pause or fix the ad before scaling it.
Formula
Maximum ad spend per order = selling price − supplier product cost − shipping cost − payment fee − target profit per order, where payment fee = (payment fee rate × selling price) + fixed fee. Minimum ROAS at the ceiling = selling price ÷ maximum ad spend per order.
How it works
Enter the selling price, supplier product cost, shipping you pay, your payment fee as a rate plus fixed amount, and the profit you want to keep on each order. The calculator returns the most you can spend on ads per order while still keeping that profit, plus the ROAS that corresponds to spending exactly that maximum. Payment and supplier figures are inputs from your own statements and quotes, not fixed platform rates.
Worked example
Selling price $29.99, product $9.00, shipping $4.00, payment fee 2.9% plus $0.30, target profit $5.00. Payment fee = 2.9% of $29.99 = $0.87, plus $0.30 = $1.17. Maximum ad spend = $29.99 − $9.00 − $4.00 − $1.17 − $5.00 = $10.82 per order. Minimum ROAS = $29.99 ÷ $10.82 = 2.77. Spend $10.82 per order and you keep exactly $5.00; spend less and you keep more.
FAQs
What is a CAC ceiling?
It is the highest cost of winning one order that still leaves your target profit. Cost per acquisition (CAC) above the ceiling means the order earns less than your target, even if the ad itself looks successful.
How does ROAS fit in here?
ROAS is revenue divided by ad spend. At the ceiling, ROAS is at its minimum acceptable value: any lower ROAS means ad spend per order is above the ceiling. See the ROAS Calculator for the reverse calculation.
Should I set target profit to zero?
Only to find the absolute break-even ad spend. A zero target leaves nothing for refunds, subscriptions or surprises, so a real target above zero is safer.
Why is the payment fee an input?
Payment providers charge different rates, so no single published rate fits every dropshipping store. Enter your own rate and fixed fee from your payment statement.
My ad cost per order is above the ceiling — what now?
Do not scale that ad. Improve the ad, the product page or the price, or pick a product with a bigger gap between price and costs, then re-check the ceiling.
Stand: October 2026. Pure arithmetic — no platform rate is used; enter your own figures.
Sources: This calculator uses no published platform fee — every cost is an input from your own supplier quotes and payment statements. For the break-even side of the same numbers, see the Dropshipping Break-Even Calculator.
Disclaimer: Results are estimates and general information only, not financial advice. Dropshipping has no single fixed platform fee, so every cost on this page is one you enter from your own supplier invoices, shipping bills and payment statements — check those documents before you set a price.
Related calculators
Dropshipping Break-Even Calculator
Dropshipping Margin Calculator
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Set your ad ceiling before you scale
Know the most one order can cost you — then judge every ad against it.