Dropshipping Ad Profit Calculator

How advertising affects dropshipping profit

Ads are usually the largest cost in dropshipping. Two campaigns with the same ROAS can have very different profit depending on product and shipping cost — this calculator shows the profit, not just ROAS.

How to use the dropshipping ad profit calculator (formula)

What each field means

• Selling price — Average selling price.
• Product cost — Supplier cost per unit.
• Shipping cost — Shipping per order.
• Ad spend — Total ad spend for the period.
• Orders — Orders from those ads.
• Payment fee per order — Payment fee per order.

Worked example

Using these numbers: selling price $39.00, product cost $9.00, shipping cost $4.00, ad spend $2,400, orders 160, payment fee per order $1.50.

The total profit is $1,520.

• Revenue: $6,240
• Ad cost per order: $15.00
• ROAS: 2.60x
• Product + shipping cost: $2,080
• Profit margin: 24.4%

What is a profitable dropshipping ROAS?

It depends on margin. With a 65% gross margin you break even near 1.5 ROAS; most profitable stores run at 2–3+.

Tips to improve your result

• Calculate per campaign, not just per account.
• Compare ROAS with break-even ROAS before scaling.
• Scale budgets by 20–30% at a time.
• Watch CPA daily during the first week of a new ad.

Frequently asked questions