Running a Shopify store involves multiple costs beyond product expenses. This calculator shows your true profit.
Shopify fees range from $5/month (Starter) to $399/month (Advanced). Payment processing adds 1.8–2.9%.
Average Shopify store profit margin: 20–40% gross, 5–20% net after all marketing costs.
Use this calculator when preparing for a business decision that depends on this metric. Calculating the figure in advance — rather than estimating — prevents the kind of imprecision that leads to suboptimal choices.
The most consequential business calculation error is excluding indirect costs from the calculation. Labour, overhead, and opportunity cost are frequently omitted when evaluating profitability, producing overstated margin figures.
A marketing manager calculates campaign ROI: £15,000 spend, £72,000 in attributed revenue, 35% gross margin. Net profit from the campaign: £10,200. ROI: 68%. The figure justifies the budget allocation and provides the benchmark for the next campaign.
Gross margin of 40%+ is healthy. Net margin (after ads and fees) of 10–20% is considered good.
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