Calculator
TACoS Calculator
Total Advertising Cost of Sales. The metric Amazon operators run on, useful anywhere ads run alongside organic. Inputs are simple. The interpretation is where the work is.
Inputs
Outputs
TACoS20.0%
Ad-attributed sales (implied)$80,000
Organic sales (implied)$20,000
Gross margin$40,000
Profit after ads$20,000
Break-even TACoS40.0%
Operator read
Strong margin headroom. The constraint on growth is more likely creative volume or audience saturation than ad efficiency. Spend more aggressively if demand is there.
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