What is a good ACoS on Amazon?

A good ACoS depends entirely on your margins, not a benchmark number. Your target ACoS should be below your break-even ACoS by however much margin you want to keep. Use this calculator to find your personal ceiling before comparing to category averages.

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Break-even ACoS Calculator for Amazon

Enter your sale price, cost of goods, referral fee and FBA fee — instantly see the exact ACoS where your ad spend breaks even, your pre-ad profit per unit, and your target ACoS for any margin goal. 100% browser-based, no data sent anywhere.

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No account needed. All calculations happen in your browser — nothing is sent to our servers, ever.

Enter Your CostsSale price, COGS, referral fee, FBA fee.

Set Your Margin GoalThe net margin % you want to keep after ads.

See Your NumbersBreak-even ACoS, pre-ad profit & target ACoS.

Set Campaign TargetsUse your target ACoS as your PPC bid ceiling.

Your Product Economics

Sale Price *

Your listed selling price on Amazon.

Product Cost (COGS) *

Manufacturing + freight to Amazon, per unit.

Amazon Referral Fee

15%

Most categories: 15%. Check Amazon's fee schedule for your exact category.

FBA / Fulfillment Fee

Per-unit pick, pack and ship fee from Amazon.

Your Margin Goal

Net Margin You Want to Keep

20%

Used to calculate your target ACoS — the ACoS that preserves this margin after ad spend.

Break-even ACoS

Spend above this on ads and each ad-driven sale loses money.

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Pre-Ad Profit / Unit

$0.00

Revenue minus COGS, referral fee and FBA — before any ad spend.

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Target ACoS to Keep 20% Margin

Set your campaign ACoS targets at or below this to hit your margin goal.

ACoS Budget Breakdown

0% Target Break-even 100%

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Profit Margin Before Ads

Your gross margin available to absorb ad spend.

Break-even ACoS Formula

Break-even ACoS =
  (Sale Price − COGS − Referral Fee − FBA Fee)
  ÷ Sale Price × 100

Target ACoS =
  Break-even ACoS − Target Margin %

How to Use These Numbers

Break-even ACoS is your ceiling. Set campaign ACoS targets below this — never above.

Target ACoS is your operating goal. It leaves room for the margin % you entered.

Pre-ad profit is the maximum you can spend per sale on ads before losing money.

Set keyword bids to push actual ACoS toward your target — monitor weekly and adjust.

Once profitable, track TACoS (total ad spend ÷ total revenue) to measure true ad efficiency. Use our TACoS calculator →

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Hit Your ACoS Target Automatically — GlancePeak GP PPC Brain

Knowing your target ACoS is step one. Hitting it consistently across hundreds of keywords requires weekly bid analysis, search term harvesting, and budget reallocation. GlancePeak's GP PPC Brain runs a 4-report weekly analysis — keyword, search term, placement, and budget — to hold your campaigns at your target ACoS. See PPC Management →

4-Report Weekly Analysis ACoS Reduction Bid Optimisation Budget Control

Common Questions

Everything sellers ask about break-even ACoS, target ACoS, and Amazon PPC profitability.

What is break-even ACoS on Amazon?

Break-even ACoS is the advertising cost of sales at which an ad-driven order makes exactly zero profit. It equals your gross margin before ad spend: (sale price minus COGS, referral fee and FBA fee) divided by sale price. Run ads above this ACoS and each ad sale loses money. Run below it and you keep the difference as profit.

What is the difference between break-even ACoS and target ACoS?

Break-even ACoS is the ceiling — the point where ads make zero profit. Target ACoS is set below break-even to preserve a specific margin. If your break-even is 35% and you want to keep 15% net margin, your target ACoS is 20%. Always set campaign ACoS targets to your target, not your break-even.

Is a 25% ACoS good on Amazon?

It depends entirely on your margins, not a benchmark. A 25% ACoS is great if your break-even is 40% (you keep 15% margin). The same 25% is catastrophic if your break-even is 20% (you lose money on every ad sale). Use this calculator to find your personal break-even before comparing to category averages.

What is Amazon referral fee and how do I find mine?

Amazon referral fee is a percentage of the sale price Amazon charges per unit sold. Most categories are 15%, but rates range from 6% to 45% depending on category. Find your exact rate in Seller Central under Settings → Account Info → Selling fees, or in Amazon's published referral fee schedule for your marketplace.

How do I lower my Amazon ACoS?

Lowering ACoS requires: (1) Negative keyword harvesting — blocking searches that spend without converting. (2) Bid reduction on keywords above your target ACoS with enough data. (3) Listing optimisation — higher conversion rate means lower CPC needed per sale. (4) Placement adjustments — reducing top-of-search multipliers if that placement is over-ACoS. GlancePeak's PPC Management service handles all of this through a weekly 4-report analysis.

What is the difference between ACoS and TACoS?

ACoS (Advertising Cost of Sales) = ad spend ÷ ad revenue × 100. It only counts sales attributed to ads. TACoS (Total ACoS) = ad spend ÷ total revenue × 100. TACoS is the more honest efficiency metric — it shows what percentage of your entire business is being absorbed by ads, including organic sales your ads influence. Use our Profit & TACoS Calculator to calculate TACoS alongside net profit.

Should I include storage fees in my break-even ACoS calculation?

This calculator covers the four main per-unit costs: COGS, referral fee, and FBA pick/pack/ship fee. For a fully loaded profitability view including storage fees, return processing fees, and overhead, use our Profit & TACoS Calculator. For break-even ACoS purposes, the four inputs here give you the correct ceiling for your ad bids.

Want Someone to Hit Your Target ACoS For You?

GlancePeak manages PPC for 150+ brands. Our GP PPC Brain runs weekly 4-report analysis to hold campaigns at your ACoS target — so you don't have to.

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Break-even ACoS Calculator for Amazon

Hit Your ACoS Target Automatically — GlancePeak GP PPC Brain

Common Questions

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