Calculate Your True Dropshipping Profit

Dropshipping margins can be thin. To be profitable, you need to know exactly how much you make on every sale after all expenses. This Dropshipping Profit Calculator breaks down your costs to reveal your actual net profit.

Hidden Costs That Kill Profit

Many dropshippers only look at Selling Price - Product Cost. But you must also account for:

• Ad Spend (CPA): Cost per acquisition (Facebook/TikTok ads).
• Shipping: ePacket or private line costs.
• Transaction Fees: Stripe/PayPal fees (usually 2.9% + $0.30).
• Platform Fees: Shopify transaction fees (if applicable).

How to Use

1. Selling Price: The price your customer pays.
2. Product Cost: What you pay your supplier (AliExpress/CJ).
3. Shipping Cost: Cost to ship to the customer.
4. Ad Cost (CPA): Average ad spend to get one sale.
5. Misc Fees: Payment gateway percentages and fixed fees.

Metrics Explained

• Net Profit: The actual cash in your pocket after all expenses.
• Profit Margin: Net Profit / Selling Price. (Aim for 20%+).
• Break-Even ROAS: The minimum Return on Ad Spend needed to not lose money.
• Markup: How much you've increased the price over the product cost.

Use this tool to price your products correctly and ensure your ad campaigns are profitable.