Ecommerce profit margin calculator
Gross margin, contribution margin, and true net profit after ads, with the formula shown.
Profit margin
Fill in the inputs, results compute live, formula included.
Questions.
- What's a good contribution margin for DTC?
- Most healthy DTC stores land between 35% and 55% contribution margin after COGS, shipping and fees. Below 30%, ad spend usually eats the rest.
- Gross vs contribution vs net margin?
- Gross subtracts COGS only. Contribution also subtracts variable costs (shipping, fees, discounts). Net also subtracts ad spend, the number your bank account sees.
These are estimates. Your order data isn't.
Drop your store export, the same numbers computed exactly, plus peer benchmarks and a per-SKU screener.
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