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The Amazon PPC ROAS Floor That Saves Your Margins
Description
Lucas and Luna dive into a critical but often overlooked metric in Amazon PPC: the ROAS floor. Most advertisers chase high ROAS without knowing the minimum return they need to break even or hit profit targets. Using a concrete example of a $15 product with 30% margin, Lucas explains how to calculate your personal ROAS floor based on COGS, Amazon fees, and ad spend. They discuss why a 4.0 ROAS might be amazing for one seller and terrible for another, and how failing to set a floor leads to scaling unprofitable campaigns. Luna pushes back on whether focusing on ROAS misses the bigger picture of total profit, and they land on a framework: ROAS floor for campaign-level decisions, total contribution profit for strategic ones. Practical, numbers-driven, and immediately actionable for any Amazon seller managing PPC. Recorded June 11, 2026.