Affiliate Ads Break-even Calculator
Determine the maximum CPC you can afford for paid campaigns promoting affiliate offers by combining commission rate, order value, and conversion rate.
Examples
- 12% commission, $140 AOV, 2.1% conversion, 0% margin ⇒ Result: $0.35 max CPC
- 8% commission, $95 AOV, 3.4% conversion, 20% margin ⇒ Result: $0.21 max CPC
FAQ
How do I include recurring commissions?
Multiply the commission rate by the expected number of rebills you realistically receive per customer to derive an effective rate.
Can I run this for CPA campaigns?
Yes. Set the commission rate so that commissionPerSale equals your CPA payout, and use 100% conversion if the payout is per click.
What if my conversions vary by device?
Run the calculator for each segment (desktop, mobile) with its specific conversion rate to set different bid caps.
Additional Information
- Output is the break-even CPC in USD for the chosen campaign parameters.
- Add a positive margin to maintain profitability above break-even and cover fixed costs.
- Compare the result with actual CPC from your ad platform to judge viability.
- Incorporate upsells or lifetime value by increasing the effective commission or conversion rate.