TikTok Shop math

TikTok Shop Break-even ROAS Calculator

Commission plus affiliate cuts eat margin fast at TikTok price points — know your floor before you scale spend.

Break-even ROAS on TikTok Shop = price ÷ margin after commission and affiliate cuts. TikTok's marketplace commission (~8% in the US) plus a typical 10–20% affiliate commission come off the top at price points that are already low. A $25 product with $8 COGS, $2 platform commission, $4 shipping and a $1 misc cost keeps $10 — break-even ROAS 2.5×. Add a 15% affiliate cut and the floor jumps sharply. Enter your numbers, with the affiliate percentage in "other costs," to see your real ceiling.

TikTok Shop Break-even ROAS Calculator — your per-order numbers

Break-even ROAS

2.50×

Break-even ACOS

40.0%

Target ROAS

4.00×

Margin / order

$10.00

At 40.0% gross margin, spend up to 40.0% of revenue on ads to break even.

Estimate only. Figures assume the costs you entered are complete and per-order; they exclude returns, overhead, and taxes.

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TikTok Shop fees in this calculation

Presets reflect typical TikTok Shop economics (verified 2026-07-23) — adjust every field to your actual numbers. Estimates only.

Marketplace commission US rate — verify current schedule for your category ~8%
Affiliate commission Only on affiliate-attributed orders — model it in "other costs" 10–20% typical
Shipping Low AOV makes per-order shipping proportionally heavy seller-paid common

Worked examples

Organic / Shop-tab sale

Selling price $25.00
All per-order costs $15.00
Contribution margin $10.00
Break-even ROAS 2.50×

Commission only — the floor most sellers think they have.

Affiliate-driven sale (15% cut)

Selling price $25.00
All per-order costs $18.75
Contribution margin $6.25
Break-even ROAS 4.00×

The same order with a $3.75 affiliate cut — the floor most sellers actually have.

Break-even ROAS by margin — quick reference

Gross margin (after fees)Break-even ROAS
20% 5.00×
25% 4.00×
33% 3.03×
40% 2.50×
50% 2.00×
60% 1.67×

Frequently asked questions

What fees does TikTok Shop charge sellers?

A marketplace commission (about 8% in the US, category-dependent) on each order, plus the affiliate commission you offer creators — commonly 10–20% — on affiliate-attributed sales. Both come out of your margin before ad spend, so both belong in a break-even calculation.

How do I account for creator/affiliate commissions in ROAS?

Treat the affiliate cut as a per-order cost on affiliate-attributed orders: add it to "other costs" here. A 15% commission on a $25 product is $3.75 — often the difference between a 2.5× and a 4× break-even.

Why is break-even ROAS higher on TikTok Shop than my Shopify store?

Lower average order values make fixed per-order costs (shipping, packaging) proportionally larger, and commission plus affiliate cuts stack on top. The same product often needs a full point more ROAS on TikTok Shop to clear break-even.

Do TikTok ads and affiliate commissions both count against the same margin?

Yes — one contribution margin pays for everything. If affiliates take $3.75 and ads take the rest of your $10 margin, the order breaks even. That is why scaling both channels at once needs the combined math, not two separate dashboards.

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