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Dropshipping Profit Calculator

Check whether a dropshipping product can make money once ads are paid for. The calculator gives the profit per order, the most you can spend on ads to win a sale, and the break-even return on ad spend.

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Share of orders refunded, counted as lost revenue.

Profit per order$8.63Margin 24.65%
Profit before ads
$17.63
Break-even ROAS
1.99×
Fees
$1.31
Expected refund cost
$1.05
Step-by-step working
  1. Fees = $34.99 × 2.9% + $0.30 = $1.31
  2. Refund cost = $34.99 × 3% = $1.05
  3. Profit before ads = $17.63; minus CPA $9.00 = $8.63
  4. Break-even ROAS = price ÷ profit before ads

How to use the Dropshipping Profit Calculator

  1. Enter the retail price and the supplier’s product and shipping costs.
  2. Add payment and platform fees.
  3. Enter your ad spend per order and expected refund rate.
  4. Press Calculate.

Formula

Profit before ads = price − supplier cost − supplier shipping − fees − price × refund rate

Profit = profit before ads − ad spend per order

Break-even ROAS = price ÷ profit before ads

Examples

  • 34.99 price, 11 + 4 supplier, 2.9% + 0.30, 3% refunds, 9 CPA: profit before ads ≈ 17.63, profit ≈ 8.63, break-even ROAS ≈ 1.99×.

Frequently asked questions

What is a good ROAS for dropshipping?

Any ROAS above your break-even ROAS is profitable. A product with a break-even ROAS of 2× makes money once each 1 of ads brings in more than 2 of sales.

Should I include returns?

Yes. Refunds and chargebacks are a real cost in dropshipping, especially with long delivery times.

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