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Why your Instamart ROAS is lying to you
2026-03-15·5 min read
You check your Instamart ad console. It says 4.2x ROAS. You feel good. You shouldn't.
The problem with platform ROAS
Platform ROAS = Revenue / Ad Spend. That's it. It doesn't know:
- Your COGS — what it actually costs to make or source your product
- Logistics costs — warehouse, packaging, last-mile delivery
- Platform commissions — Instamart takes 15-25% depending on your category
- GST — because that "revenue" includes tax you don't keep
A real example
Let's say you sell a rice product at ₹499 MRP on Instamart.
| Line item | Amount |
|---|---|
| Revenue (MRP) | ₹499 |
| COGS | -₹180 |
| Logistics | -₹45 |
| Platform commission (20%) | -₹100 |
| GST (5%) | -₹25 |
| Actual margin | ₹149 |
If you spent ₹120 in ads to get that sale, your platform ROAS is 4.2x (499/120). Looks great.
Your True ROAS is 1.24x (149/120). You made ₹29 profit. One more keyword bid increase and you're losing money.
What you should do
- Calculate your True ROAS for every platform — factor in all costs, not just ad spend vs revenue
- Set your break-even True ROAS — for most Q-com brands, it's between 1.0x and 1.5x
- Kill campaigns below break-even — that "4x ROAS" campaign might actually be losing money
How Ladya helps
Ladya doesn't just track platform ROAS. When you add your cost structure (COGS, logistics, commissions), she calculates True ROAS automatically — and alerts you when a "winning" campaign is actually losing money.
Stop celebrating vanity metrics. Know your real numbers.
Stop guessing. Let Ladya start working today.
Join the waitlist for early access.