Glossary · TACoS

TACoS (total advertising cost of sale)

TACoS, total advertising cost of sale, is ad spend divided by total sales (ad-attributed plus organic) for a product or account, shown as a percentage. It's the wider cousin of ACoS, which Amazon Ads calculates by dividing ad spend by ad revenue.

Why it matters for CPG brands

ACoS tells you whether a campaign pays for itself. TACoS tells you how dependent the whole business is on advertising. A falling TACoS while sales grow usually means organic demand is growing too, which is the healthier kind of growth. Because it combines ad and total sales data, it's usually calculated in a reporting dashboard rather than read off a single ad report.

Example

A product spends $2,000 on ads that drive $10,000 in attributed sales (ACoS 20%), and sells $25,000 in total, so TACoS is 8%. XENA's case studies report a 60% improved TACoS for SKONA and a 32% TACoS efficiency improvement for Growee.

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Related XENA products

  • XENA 360: Unified marketplace sales, ads and operations

Frequently asked questions

What's a good TACoS?

It depends on margin, category and growth stage. Track the trend for each product rather than chasing a single benchmark.

Related terms

Sources

  1. Amazon Ads: ACoS (advertising cost of sale) guide
  2. XENA case study: SKONA
  3. XENA case study: Growee

Third-party facts are from the linked pages, checked Oct 27, 2026. Examples are illustrative unless they link to a published XENA case study.

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