What This Tool Does?

Our True CAC & ROAS Calculator lets you plug in all the real‑world costs behind acquiring a customer—COGS, shipping, packaging, return shipping (RTO), transaction fees (fixed at 2%), and any “other charges” you incur. Then, instead of the inflated “vanity metrics” you see in Meta, Google Ads or Shopify dashboards, it spits out:

• Adjusted CAC
  
• True ROAS
  
• Total Cost per Order
  
• Net Profit per Order
  

All in one place, in seconds, so you can make data‑backed decisions on scaling your D2C brand.

Why Meta/Google Dashboards Don’t Tell the Full Story?

When you look at Meta or Google Ads dashboards, they treat every paid conversion as an equal “win”—but in the real world, a hefty chunk of those orders never stick. Here’s why that matters:

1. Conversions vs Net Customers
   • What the dashboard shows: 100 purchases → 100 new customers.
   • What actually happens: If your RTO rate is 30%, only 70 of those orders stay sold—30 get sent back, refunded, or restocked.
   • The disconnect: Your reported CAC = (Ad Spend ÷ 100) … but your true CAC = (Ad Spend ÷ 70), which is ~43 % higher.
2. Inflated ROAS
   • Dashboards calculate ROAS as Revenue from those 100 orders ÷ Ad Spend.
   • But 30 of those orders never translate into revenue (you pay refunds, re‑packaging, reverse shipping), so your real revenue base is smaller—and your real ROAS is lower.
3. Hidden Return Costs
   • Beyond lost revenue, every RTO order carries extra costs:
     • Return shipping: You often pay ₹100+ to get the item back.
     • Restocking & inspection: Labor or partner fees to check and re‑shelve the product.
   • Dashboards don’t subtract these line items, so they show a purer, rosier profit margin than what lands in your bank.

Real‑World Example

• Ad Spend: ₹50,000
• Dashboard CAC: ₹50,000÷100orders = ₹500
• With 30 % RTO → only 70 net orders
  • True CAC: ₹50,000÷70 ≈₹714
  • Difference: +₹214 (43% more than you thought)

By ignoring RTO, Meta/Google dashboards give you a false sense of efficiency. You think you’re acquiring customers at ₹500, but each one really costs you ₹714 once returns are factored in—plus you’ve buried another ₹30×100=₹3,000 in return‑shipping fees. That gap is exactly what our tool uncovers.