Calculate real physical product margin after product cost, shipping, packaging, fees, ads, warehouse cost, and return cost. Use it before scaling inventory or ad spend.
Margin shows the share of selling price kept as profit after direct selling costs. Physical product margin must include fulfillment and platform costs.
Benchmarks vary by product category, channel, fulfillment model, and customer segment. Use the result as a decision estimate, not accounting advice.
An $80 product with $24 manufacturing, $11 fulfillment, 15% fees, $8 ads, $2 warehouse, and $4 returns earns about $19 profit, or 24% margin.
Many sellers target at least 25–35% net margin, but the right benchmark depends on channel, product category, and fulfillment model.
Shipping directly reduces per-unit profit and can make bulky or low-priced products less scalable.
Yes. Ad cost per sale should be included when evaluating whether a product is profitable under paid acquisition.
Many Amazon sellers aim for 15–30% net margin after FBA, referral fees, advertising, and returns.
Increase price, reduce cost of goods, optimize shipping, reduce returns, improve conversion, and bundle higher-margin add-ons.
| Metric | Meaning |
|---|---|
| Main Result | Primary number used for decision-making. |
| Health Score | 0–100 score based on profitability, operating efficiency, or risk. |
| Status | Excellent, Good, Average, or Needs Improvement. |
| Recommendation | Automatic next action based on the result. |