Amazon FBA Profit Calculator
Calculate your net profit, margins, and ROI for Amazon FBA products.
How the Amazon FBA Profit Calculator Works
Success on Amazon depends on understanding your "true" profit after all fees are deducted. This Amazon FBA Profit Calculator helps you break down the various costs associated with selling on the platform. To use the tool, input your estimated selling price and the cost of goods sold (COGS). The calculator then factors in Amazon's referral fee (the commission Amazon takes), fulfillment fees (the cost of picking, packing, and shipping), and your logistical expenses.
Understanding Key FBA Fees
Referral Fees: This is essentially a commission paid to Amazon for every item sold. For most categories, this is 15%, but it can range from 8% to 45% depending on the niche.
Fulfillment Fees: These are the per-unit fees for Amazon to ship your product from their warehouse to the customer. This price varies based on the size and weight of your product.
Storage Fees: Amazon charges for the space your inventory occupies. These fees increase significantly during the Q4 holiday season.
Example Calculation
Imagine you are selling a yoga mat for $40.00. Your costs are as follows:
- COGS: $10.00
- Shipping to Amazon: $2.00
- Referral Fee (15%): $6.00
- FBA Fulfillment Fee: $7.50
- PPC Advertising: $4.00
In this scenario, your total costs are $29.50. Your Net Profit would be $10.50 per unit, resulting in a 26.25% Profit Margin and a 105% ROI.
Why Monitoring Profit Margins is Critical
Many sellers focus only on "Revenue," but revenue is a vanity metric. If your net margin is below 15%, you may not have enough cushion to handle product returns, price wars, or rising PPC costs. A healthy FBA business typically aims for a profit margin of 20-30% and an ROI of 100% or higher.