THE ECONOMICS BEFORE THE ADS
Find room
in the offer.
Compare one, two, and three-unit bundles. See what remains after product costs, shipping, returns, and paid acquisition.
01 / SHARED ASSUMPTIONS
The costs around the sale.
How the model treats refunds
Refunded orders return the full product price and customer shipping charge. Product cost, outbound shipping, handling, and payment fees are still incurred. Return postage applies to the refunded share of orders. Recoverable product cost is added back only at your chosen recovery rate.
All amounts use one currency. Taxes, income tax, fixed overhead, disputes, partial refunds, and payment holds are outside this model. Target margin means contribution after ads divided by retained revenue.
02 / PRODUCTS & QUOTES
Make the bundles comparable.
Unit cost excludes outbound shipping. Custom bundle prices and shipping quotes can be supplied in the CSV template.
Two-unit default: second unit at half price. Three-unit default: buy two, get one. Change either discount in assumptions.
03 / COMPARISON
What can each order carry?
| Product / bundle | Price | Before ads | Break-even ROAS | Target CPA | At your CPA | Margin |
|---|
Target CPA is the maximum modeled ad cost per order at your target contribution margin. It is not a prediction of attainable ad performance. Negative targets mean the target margin is unreachable even with free acquisition.
04 / CALCULATION TRAIL