Ecommerce KPI Tool
Contribution Margin Calculator
See what each order contributes after variable costs and ads.
Formula: Contribution Profit = Order Value - Product Cost - Fulfillment - Fees - Ad Cost
Plan Mode
Free mode is active while advanced subscription features are paused.
Decision snapshot
Contribution Margin Calculator
See what each order contributes after variable costs and ads.
Formula
Contribution Profit = Order Value - Product Cost - Fulfillment - Fees - Ad Cost
Contribution profit per order
$34.96
Contribution margin
36.80%
Activity profile
A simple visual cue for the current decision path.
Inputs
Enter your current operating numbers to get a quick decision-ready snapshot.
Scenario workspace
Save scenarios and compare outcomes. Local autosave stays on by default for quick planning.
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No saved scenarios yet. Save your current assumptions to compare results over time.
| Scenario | Plan | Contribution profit per order | Contribution margin |
|---|---|---|---|
| Current session | Free | $34.96 | 36.80% |
When to use this tool
- Before launching a product, bundle, or paid campaign.
- When ad cost or fulfillment changes and the margin story shifts.
- Before hires or software spend that fixed contribution has to cover.
FAQ
How is contribution margin different from gross margin?
Contribution margin includes additional variable costs like transaction fees and ad cost, not just product cost.
What if contribution profit is negative?
The offer loses money per order. Raise price, lower variable costs, or reduce acquisition cost before scaling.
Why is this metric useful for paid media?
It directly shows how much value remains from each order after acquisition and variable operating costs.
Reference links
These are the external references we use when the calculation needs a wider industry or platform context.