Profit Margin Calculator
Calculate net profit margin after fees, shipping, and product costs.
Margin formula
Net profit = revenue - fees - costs
Profit margin = net profit / revenue
Use real fee data
The most accurate margin estimate comes from using the platform calculator that matches where you sell.
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Common margin mistakes
- Ignoring processing fees or fixed per-order costs.
- Forgetting fulfillment or shipping label expenses.
- Using a different fee base than the platform applies.
- Comparing margin without the same order inputs.
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FAQ
What is profit margin?
Profit margin is net profit divided by revenue. It shows how much of each sale you keep after fees and costs.
What costs should I include?
Include platform fees, payment processing, shipping costs, and product cost (COGS). Add ads or fulfillment if they apply.
More questions (2)
Is margin different from markup?
Yes. Margin is profit divided by revenue. Markup is profit divided by cost.
How can I improve my margin?
Test higher prices, reduce costs, or choose a platform with lower effective fees for your category.