How to Calculate E-commerce Profit Margin

Profit margin is (Net Profit / Revenue) × 100. Net profit equals revenue minus all costs: COGS, shipping, platform fees, and payment processing.

Many sellers only subtract product cost and forget listing fees, transaction percentages, and payment processing surcharges. This leads to overestimated margins.

FeeCalcHub calculators compute every fee line item automatically so you see your true margin before you list or price a product.