Dropshipping Profit Calculator
Calculate margins, ROAS & true profit per order
Order Details
Profit Analysis
Enter order details to see profit breakdown
Who Uses This Calculator
New Dropshippers
Testing your first product? Know exactly how much you'll make per sale before you spend a dollar on ads. Many beginners lose money because they never calculated their true costs.
Ad Managers
Running Facebook or TikTok ads? Calculate your break-even ROAS to know when to scale and when to kill a campaign. Stop guessing, start measuring.
Pricing Decisions
Should you price at $24.99 or $29.99? This calculator shows you exactly how each price point affects your margin and break-even ROAS.
Frequently Asked Questions
What's a healthy profit margin for dropshipping?
Aim for 20-30% net margin after ALL costs including ads. Beginners should target higher margins (30%+) to absorb testing costs. Experienced sellers can work with 15-20% on high-volume products.
How do I calculate my ad cost per order?
Divide your total ad spend by the number of orders. If you spent $500 on ads and got 50 orders, your CPA (Cost Per Acquisition) is $10. This is the number you plug into the calculator.
What ROAS should I aim for?
It depends on your margins. If your margin (before ads) is 50%, your break-even ROAS is 2x. Anything above is profit. Most dropshippers aim for 2.5x-4x ROAS to be comfortably profitable.
Should I include payment processing fees?
Absolutely. Stripe/PayPal charge ~2.9% + $0.30 per transaction. On a $30 order, that's $1.17. Over 1000 orders, you're losing $1,170 if you don't account for it.
How do I factor in refunds and chargebacks?
Expect 2-5% of orders to be refunded or charged back. Add this to your costs. If your profit is $10/order and you have 5% refunds, your effective profit is $9.50/order.
What's the difference between markup and margin?
Markup is based on cost: (Price - Cost) / Cost. Margin is based on price: (Price - Cost) / Price. A 100% markup = 50% margin. This calculator uses margin, which is the industry standard.
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