Skip to content
web1o

Dropshipping profit calculator

Work out what you actually keep on every dropshipping order — and the exact ad spend that turns a winner into a loss.

What your supplier charges you per order.
%
Ad spend divided by the number of orders it brings in.

Profit per order

Profit per order€9.10
Net margin30.3 %
Max ad spend to break even€17.10

Ad cost per order is what makes or breaks dropshipping — watch it closely. Once your cost per acquired order passes the break-even figure above, each sale loses money.

Indicative estimate based on your inputs. Real margins also depend on refunds, chargebacks, returns and currency conversion.

How the dropshipping profit calculator works

Dropshipping margins look healthy until you subtract everything that eats into them. This calculator starts with your selling price, then deducts the product-and-shipping cost your supplier charges, the payment processor's percentage fee, and the advertising cost of acquiring one order. What remains is your real profit per order — the number that actually matters.

The formula is straightforward: profit = selling price − supplier cost − (price × fee %) − ad cost per order. Net margin expresses that profit as a percentage of the selling price, so you can compare products on a level footing. The break-even figure shows the maximum you can spend on ads per order before the sale starts losing money.

Ad cost per order is the variable that quietly decides whether a store scales or bleeds. Small changes in your cost per acquired order swing you from profit to loss, so treat the break-even number as a hard ceiling and watch it as your campaigns mature.

  • Many sustainable stores aim for 15–30% net margin after all costs, including ads. Thin single-digit margins leave no room for refunds, returns or rising ad prices, so they tend to collapse the moment acquisition costs creep up.

Turn a working store into a real brand

Once the numbers work, a fast, trustworthy storefront is what compounds your margins. web1o builds conversion-focused ecommerce sites across Europe — let's make yours one customers buy from.