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Dropship margin and shipping time calculator

Profit per order, the most you can pay for ads, break-even ROAS and a delivery-time check for any dropshipped product.

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Profit per order, the most you can pay for ads, break-even ROAS and a delivery-time check for any dropshipped product.

Worked example

Input: Selling price: 34.99; Supplier product cost: 11; Supplier shipping cost: 3.5; Ad cost to win one order: 8; Fastest delivery (days): 7; Slowest delivery (days): 14.

$10.13 profit per order at a 29% margin

Ready to scale: healthy margin and delivery that buyers accept. Fair delivery: show the delivery window on the product page and send tracking early.

Profit per order$10.13
Max ad cost per order$18.13
Break-even ROAS1.93x
Delivery7 to 14 days

How it works

  1. Enter your selling price and the supplier cost and shipping cost.
  2. Add what you pay in ads to win one order, and the delivery window your supplier quotes.
  3. Press Score this product.
  4. Read the profit, the break-even ROAS and the delivery verdict, then change one number to see what moves the score.

Use it from your agent

This tool is also a public MCP tool called dropship_margin_calc and a REST endpoint at /api/v1/tools/dropship_margin_calc. No key needed. Install snippet.

Questions

What is break-even ROAS?

The return on ad spend at which an order makes exactly zero profit. Above it you earn money, below it you lose. It is the order total divided by what is left after fees, refunds and supplier costs.

How is the score worked out?

Sixty percent comes from margin (full marks at 35%) and forty percent from delivery speed (full marks at 5 days or less, nothing at 30 days or more). Losing money caps the score.

Why does delivery time matter?

Slow parcels lead to support messages, refunds and chargebacks. Showing the window on the product page and sending tracking early keeps them down.

Are taxes and returns shipping included?

Taxes are not included. The refund allowance covers lost revenue from refunds, so raise it if your category returns often.

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