What is E-commerce Profit Calculator?
E-commerce Profit Calculator helps you estimate an online sale's profit after product, delivery and selling costs.
The main result is estimated profit per order, with a breakdown of platform fees including tax. The formula, example and assumptions below explain how to interpret it.
How to use E-commerce Profit Calculator
Use the example to get familiar with the form, then enter your own figures. Any rates in the example are illustrative. Check the field labels and units before calculating.
- Gather selling price excluding tax (₹), product cost (₹), marketplace commission (%), shipping cost (₹), other fees and charges (₹) and tax on platform fees (%). Use values from the same situation or reporting period.
- Replace the example selling price excluding tax with your own value, then complete the other fields. Check the displayed units.
- Select Calculate and read estimated profit per order with its result breakdown. Change one input and calculate again to compare a second scenario. Reset restores the original example.
- Enter selling price excluding tax in ₹, at least 0. Decimals are accepted.
- Enter product cost in ₹, at least 0. Decimals are accepted.
- Enter marketplace commission in %, at least 0 and at most 100. Decimals are accepted.
- Enter shipping cost in ₹, at least 0. Decimals are accepted.
- Enter other fees and charges in ₹, at least 0. Decimals are accepted.
- Enter tax on platform fees in %, at least 0 and at most 100. Decimals are accepted.
E-commerce Profit Calculator: a worked example
With the inputs below, the result is ₹227.6 (estimated profit per order). Follow the example, then replace these illustrative values with your own.
| Input or output | Example value |
|---|---|
| Selling price excluding tax (₹) | ₹1,000 |
| Product cost (₹) | ₹500 |
| Marketplace commission (%) | 15 % |
| Shipping cost (₹) | ₹60 |
| Other fees and charges (₹) | ₹30 |
| Tax on platform fees (%) | 18 % |
| Estimated profit per order | ₹227.6 |
| Platform fees including tax | ₹212.4 |
Understanding the E-commerce Profit result
Read estimated profit per order alongside platform fees including tax. These describe different parts of the same calculation.
Displayed results use a readable number of decimal places. When checking a result by hand, keep extra precision until the last step. To compare scenarios, change one input at a time and keep the others fixed.
- Example Platform fees including tax: ₹212.4
E-commerce Profit Calculator: assumptions and common mistakes
A useful estimate starts with the right inputs. Check the following assumptions and limits before applying the result to your situation.
- Enter the fee schedule for your category, order and seller account. Example rates are editable; they are not a current marketplace quote.
- Separate revenue from cash receipts and cost from selling price. Check the denominator before comparing a margin with a markup.
For wider guidance, visit ICAI. The formula and scope of this specific tool are stated on this page.
