How to use this calculator
Enter selling price, product cost, shipping cost, and packaging cost. The calculator measures shipping cost ratio and the profit left after logistics-related costs.
Estimate how much shipping and packaging reduce Amazon order profitability. This is useful for comparing FBA, FBM, free shipping, and package-size decisions.
Enter selling price, product cost, shipping cost, and packaging cost. The calculator measures shipping cost ratio and the profit left after logistics-related costs.
A low shipping ratio keeps margins flexible. A high ratio means shipping is absorbing too much of the selling price and may require packaging changes or repricing.
This calculator focuses on shipping pressure and does not replace a full Amazon fee calculation.
If a product sells for $45, costs $18, ships for $6, and packaging costs $1.50, shipping ratio is 16.7% and margin after shipping is $19.50 before Amazon fees.
Many sellers try to keep shipping and packaging below 8% to 15% of selling price, but bulky or heavy products may require a higher selling price.
FBA can be cheaper for small standardized items, while FBM may be better for unusual, oversized, or locally fulfilled products. Compare total cost per order.
Reduce package dimensions, negotiate carrier rates, use Amazon partnered carrier options, avoid oversized tiers, and consolidate shipments where possible.
Total delivered price, fulfillment speed, and seller performance can affect Buy Box competitiveness, so shipping strategy indirectly matters.
Add carrier cost, packaging, labels, handling, and any fulfillment labor, then divide by orders shipped.
| Metric | Meaning |
|---|---|
| Shipping ratio | Shipping and packaging cost as a percentage of selling price. |
| After-shipping margin | Money left after product and shipping costs. |
| Monthly shipping | Estimated logistics spend for 100 monthly orders. |
| Health score | Score based on whether shipping ratio is sustainable. |