Calculate your net profit, margins, and ROI for Amazon FBA sales.
Amazon Referral Fee:
Total Amazon Fees:
Net Profit:
Profit Margin:
ROI (Return on Investment):
Understanding Amazon FBA Fees and Profitability
Selling on Amazon via Fulfillment by Amazon (FBA) is a powerful way to scale an e-commerce business, but understanding the unit economics is critical for survival. Many sellers focus on revenue while ignoring the hidden costs that erode margins.
Key Metrics Explained
Referral Fee: This is Amazon's commission for selling on their platform. For most categories, this is 15% of the total sales price.
FBA Fulfillment Fee: A per-unit fee that covers picking, packing, shipping, and customer service. This depends on the weight and dimensions of your product.
COGS (Cost of Goods Sold): The total cost to manufacture or purchase one unit from your supplier.
Profit Margin: The percentage of the sale price that remains as profit after all expenses. A healthy FBA margin is typically between 15% and 25%.
Example Calculation
Imagine you sell a yoga mat for $40.00. Your manufacturing cost is $10.00 and it costs $2.00 to ship to an Amazon warehouse.