Dropshipping Profit Calculator
Calculate true dropshipping profit per sale after supplier cost, platform fees, ad spend, and shipping. See your real margins before committing to a product.
Formula & Reference
| Variable | Formula | Units |
|---|---|---|
| Dropshipping Profit Calculator | Profit = Sale Price − Supplier Cost − Shipping − Platform Fee − Ad Spend | $/order |
Step-by-Step Examples
$39.99 price, $8 supplier, $4.50 shipping, 2.9% Shopify, $8 ad cost, 100 orders.
- Platform fee: $39.99×0.029+$0.30 = $1.46
- Total costs: $8+$4.50+$1.46+$8 = $21.96
- Profit: $39.99-$21.96 = $18.03 (45%)
- Monthly: 100×$18.03 = $1,803
$79.99 price, $18 supplier, $6 shipping, 2.9% Shopify, $12 ads, 50 orders.
- Platform fee: $79.99×0.029+$0.30 = $2.62
- Costs: $18+$6+$2.62+$12 = $38.62
- Profit: $41.37 (51.7%)
- Monthly: 50×$41.37 = $2,069
$19.99 price, $6 supplier, $3.50 shipping, 2.9%, $10 ads.
- Total costs: $6+$3.50+$0.88+$10 = $20.38
- Profit: $19.99-$20.38 = -$0.39
- LOSING MONEY on every sale! Reduce ad cost or raise price.
Real-World Applications
Common Mistakes to Avoid
Ad spend is the biggest variable in dropshipping. A $5 product cost with $25 CPA (cost per acquisition) is often loss-making. Calculate real break-even CPA before running ads.
Long AliExpress shipping causes refund requests. Budget 5–15% of revenue for refunds and chargebacks depending on niche.
Factor in 2–5% of revenue for returns processing, customer service staff, and reputation management tools.