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Find the maximum first-order acquisition cost your order economics can support.
Find the maximum first-order acquisition cost your order economics can support.
Illustrations based on the inputs above, not a guarantee.
THE THINKING BEHIND THE NUMBER
Enter the economics of one acquired order, excluding advertising. The remaining contribution is the highest first-order CPA before profit falls to zero.
Break-even CPA = selling price − discount − all non-ad variable costs.
For illustration, enter selling price / aov ₹1,000, cogs ₹300, shipping ₹70, packaging ₹20. With the remaining fields at their starting values, the break-even cpa is ₹585.00. Replace these sample figures with your own numbers before making a decision.
This is a first-order ceiling. Repeat-purchase value is excluded unless you model it separately.
Use the result alongside your store analytics, product costs and operating context. If the inputs are estimates, treat the output as an estimate too. Change one input at a time to understand what drives the result.
GO DEEPER
Subtract every non-ad variable cost from first-order net revenue. The remainder is your first-order CPA ceiling. If retention is strong, a business may deliberately spend more, but that requires a separate evidence-backed lifetime-value model.
CLEAR ANSWERS
Enter your own business figures in the labelled fields. The result updates immediately and uses this calculation: Break-even CPA = selling price − discount − all non-ad variable costs.
This is a first-order ceiling. Repeat-purchase value is excluded unless you model it separately.
No. This calculator is free to use without an account. Its numeric inputs are processed in your browser.
PUT THE INSIGHT TO WORK
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