See the method
in a worked example.
Ten original examples show what changes when you add fees, labour, discounts, tax or returns. They are scenarios, not actual seller performance.
A simple own-shop order
£20 selling price, £8 product cost, £0.50 packaging and £3 postage. Fees are zero in this illustrative example.
Contribution per entered order · 42.50% margin
Download worked PDF →An ordinary Etsy US sale
$20 sale with $8 product cost, $0.50 packaging, $3 postage and ordinary US fees. No collected sales tax or advertising is entered.
Contribution per entered order · 30.75% margin
Download worked PDF →An illustrative Etsy UK sale
£10 sale. The £0.17 listing charge is an illustrative converted input, not a guaranteed conversion. Fee VAT is entered as a non-recoverable assumption.
Contribution per entered order · 41.40% margin
Download worked PDF →A handmade product with labour
£4 materials plus £5 making-time allowance, with packaging and postage. All fees remain zero for this example.
Contribution per entered order · 46.88% margin
Download worked PDF →A twelve-unit wholesale order
Twelve units at £8, £4 cost per unit and £6 order postage. Packaging is zero in this model.
Contribution per entered order · 43.75% margin
Download worked PDF →FBA with manually entered fees
The 15% referral, £3.20 fulfilment and £0.30 storage amounts are illustrative manual inputs, not an Amazon rate card.
Contribution per entered order · 47.00% margin
Download worked PDF →A 20% discount on an order
£20 original price and £12 product cost. No other charges are included so the discount’s effect is visible.
Contribution per entered order · 25.00% margin
Download worked PDF →A VAT-inclusive price assumption
£120 price including an entered 20% sale VAT rate, and £40 net product cost. No eligibility or rate classification is determined.
Contribution per entered order · 60.00% margin
Download worked PDF →An order with acquisition cost
£40 revenue, £25 non-ad product costs and £9 advertising. General overhead is excluded.
Contribution per entered order · 15.00% margin
Download worked PDF →An expected return-loss allowance
£25 price, £10 product cost, £3 fulfilment and a 10% return rate at an entered £15 net loss per return.
Contribution per entered order · 42.00% margin
Download worked PDF →