ROI Calculator

Estimate important metrics regarding your Etsy Ads such as return on investment (ROI), cost per click (CPC), click through rate (CTR)

Anthony Wolf avatar
Written by Anthony Wolf
Updated over a week ago

The ROI Calculator (Return on Investment Calculator) helps you evaluate the performance of your Etsy Ads campaign.


Use this feature to better understand your Etsy Ads data. This enables you to assess how well your ads are performing and make the right decisions to achieve your sales performance goals.

How to use

In the Main Menu, select "Tools" and then "Calculators."

Click the tab on the right to view the ROI Calculator.

If you would like to determine your profit margins for specific items in your shop, feel free to try out the Profit Calculator in the tab on the left.

Next, gather your advertising data from your Etsy shop. To do this, go to your Etsy dashboard and select "Marketing" in the Shop Manager menu on the left.

Then, select "Etsy Ads."

Use the timeframe drop-down menu on the "Advertising Stats" page to choose the timeframe from which you would like to gather data. eRank recommends that you use at least 30 days’ worth of data to observe shopping trends before adjusting your budget and advertised listings.

Enter your ad spend, ad views, ad clicks, orders from ads, and revenue from ads in the appropriate fields in the calculator. Please note that you will need to use the number keys at the top of your keyboard to do this. If your keyboard has a number pad, it will not work with this feature.

Then, click the orange "Calculate" button to calculate your ad performance metrics.

The Performance Metrics table displays the following:


What It Means

Cost per Click (CPC)

The amount each click costs you. Ideally, it should be as low as possible.

Return on Investment (ROI)

Indicates whether or not your investment is achieving positive results. The higher this number is, the better.

Cost per Order

The amount of advertising each order will cost you. Try to keep it as low as possible.

Click Through Rate (CTR)

The ratio of the number of times your advertisement is displayed compared to the number of times someone clicks on it. If your product is displayed 1000 times via Etsy advertising and 5 people out of these 1000 have clicked on it, your CTR is 0.5% (5/1000=0.005 then 0.005x100=0.05%).

Conversion Rate

The ratio between the number of people who made a purchase compared to the number of people who clicked on your ad. So, if your ad generated 10 sales after 1000 people clicked on it, its conversion rate is 1. The higher an ad's conversion rate, the better.

Please note that there are no specific metrics that you need to achieve to be considered “successful.” If you are not satisfied with your shop’s conversion rate, consider reviewing your advertised listings and turning off ads for the lower-performing products.

Who can use this?

This tool is available to all eRank members.

We'd love to hear what you think of this feature. Feel free to click the button below to check out our Facebook group. Start a discussion, exchange ideas, or ask questions. Someone friendly is always there to help you!

Did this answer your question?