Calculate your net profit, margins, and ROI for FBA listings.
Total Fees:
Net Profit per Unit:
Profit Margin:
Return on Investment (ROI):
Understanding Amazon FBA Profits
Selling on Amazon FBA (Fulfillment by Amazon) offers massive reach, but success depends on understanding your "net" numbers. Many sellers focus on revenue while ignoring the silent profit killers like referral fees, storage costs, and PPC overhead.
Key Profit Metrics Explained
Referral Fee: This is the commission Amazon takes for every sale. For most categories, this is 15% of the total selling price.
Fulfillment Fee: This covers the cost of picking, packing, and shipping your product to the customer. It varies based on weight and dimensions.
COGS (Cost of Goods Sold): Your manufacturing or wholesale cost per unit, including packaging.
ROI (Return on Investment): Calculated as (Net Profit / Product Cost) * 100. This tells you how much your money is working for you.
Example Calculation
If you sell a product for $50.00:
Cost to buy: $12.00
Referral Fee (15%): $7.50
FBA Fulfillment: $6.00
Shipping to Warehouse: $1.00
PPC Advertising: $5.00
Total Net Profit: $18.50
Net Margin: 37%
ROI: 154%
A healthy Amazon business typically aims for at least a 20-25% net margin after all expenses including marketing.
function calculateFBAMetrics() {
var sellingPrice = parseFloat(document.getElementById('fba_selling_price').value) || 0;
var productCost = parseFloat(document.getElementById('fba_cost_of_good').value) || 0;
var inboundShipping = parseFloat(document.getElementById('fba_shipping_cost').value) || 0;
var referralRate = parseFloat(document.getElementById('fba_referral_rate').value) || 0;
var fulfillmentFee = parseFloat(document.getElementById('fba_fulfillment_fee').value) || 0;
var ppcCost = parseFloat(document.getElementById('fba_ppc_spend').value) || 0;
var otherFees = parseFloat(document.getElementById('fba_other_fees').value) || 0;
// Logic for Referral Fee
var referralFeeAmount = sellingPrice * (referralRate / 100);
// Total Fees calculation
var totalFees = referralFeeAmount + fulfillmentFee + inboundShipping + ppcCost + otherFees;
// Net Profit
var netProfit = sellingPrice – productCost – totalFees;
// Margin & ROI
var margin = (sellingPrice > 0) ? (netProfit / sellingPrice) * 100 : 0;
var roi = (productCost > 0) ? (netProfit / productCost) * 100 : 0;
// Display Results
document.getElementById('res_total_fees').innerHTML = "$" + (totalFees + productCost).toFixed(2) + " (Inc. COGS)";
document.getElementById('res_net_profit').innerHTML = "$" + netProfit.toFixed(2);
document.getElementById('res_margin').innerHTML = margin.toFixed(2) + "%";
document.getElementById('res_roi').innerHTML = roi.toFixed(2) + "%";
// Show the box
document.getElementById('fba_result_box').style.display = 'block';
// Change profit color if negative
if (netProfit < 0) {
document.getElementById('res_net_profit').style.color = '#ff0000';
} else {
document.getElementById('res_net_profit').style.color = '#008a00';
}
}