Translate gross revenue into contribution after variable costs
Gross ROAS of one hundred per cent does not necessarily recover acquisition cost after variable expenses. A reproducible illustrative example with editable inputs and explicit limits.
Gross ROAS of one hundred per cent does not necessarily recover acquisition cost after variable expenses. This worksheet uses an explicitly entered retained-revenue fraction to calculate the gross revenue required for contribution break-even. The fraction is a studio assumption, not a quoted platform commission.
Define the calculation before using it
Define which deductions and non-acquisition variable costs the retained fraction includes. Divide acquisition spend by that fraction. Avoid subtracting fees twice when the starting revenue is already net of them. Preserve the revenue basis beside the equation so a later review can reconstruct what break-even means.
Work through the synthetic example
At 10,000 acquisition units and a retained fraction of 0.70, about 14,285.71 gross revenue is required to leave 10,000 contribution. The implied gross ROAS is about 142.86%. These numbers follow from invented inputs; they are not universal profitability targets for a genre, platform or particular game.
| Output | Worked-example result |
|---|---|
| Gross revenue required | 14285.7143 |
| Required gross ROAS % | 142.8571 |
Use the artifact and preserve its assumptions
Open the editable calculator to change the inputs and inspect the sensitivity view. The CSV records synthetic inputs and expected outputs; the JSON fixture keeps the equations available for reproduction. These calculations have been checked against the stated example. No measured campaign data is included.
The sensitivity rows vary only retained by 20% below and above the entered value. They are scenarios, not confidence limits or a forecast distribution. A row outside the model’s constraints is labelled rather than turned into a plausible-looking result. Save the chosen inputs with the decision so another reader can distinguish a changed assumption from a changed formula.
Evidence and limits
Google distinguishes served cost from billed cost after adjustments. Choose and document the cost basis used in this worksheet; its production, contribution and cash assumptions are our teaching examples, not provider benchmarks. See Manage your spend in Google Ads, especially “Access your billing and cost data; View costs from reports”.
Overhead, financing, timing, taxes and refunds can sit outside the fraction. A profitability decision needs actual cost definitions and a consistent observation horizon.
Background: Annual and quarterly UA budget planning and A Q4 UA Budget Planning Checklist Before the Rush. These existing articles provide context; the present calculation does not verify every archived claim.
