Dropshipping Profit Calculator

About this calculator

In a dropshipping model the seller never holds inventory — a customer orders from the seller’s storefront, and the seller pays a supplier to ship the item directly to that customer, so profit is simply what’s left of the sale price after the supplier’s cost, the advertising spent to win that order, and the payment processor’s transaction fee.

Because there’s no warehousing or carrying cost, dropshipping margins live or die on customer acquisition cost — a product with a healthy markup over the supplier price can still lose money if ad spend per order runs too high. This calculator subtracts supplier cost, ad cost, and transaction fee from the sale price to show the true profit and margin per order, the number that actually matters for deciding whether a product or ad campaign is worth scaling.