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Dropshipping Profit Calculator

Model supplier item costs, Meta ad acquisition costs (CAC), COD courier fees, and return penalties.

Formula: Dropshipping Profit = Retail Price - Supplier Cost - Ad CAC - Delivery Fees - RTO Buffer

Calculator Inputs

Live Sync

Dropshipping Warning:

Indian dropshipping fails when ad costs (CPA) exceed 35% of selling price and COD RTO rates exceed 25%. Always confirm orders via automated WhatsApp calls before dispatching.

Realized Dropshipping ProfitVerified Formula

₹0

per order after RTO buffer

Calculation Breakdown

Customer Selling Price--

Supplier Cost--

Ad CAC per Purchase--

COD RTO Loss Reserve--

Net Take-Home Per Sale--

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Frequently Asked Questions

Common questions on calculations, industry standards, and seller profit optimization.

Is dropshipping profitable in India?

Yes, but only if you select products with at least 3x markup over supplier cost to absorb advertising CPA and COD courier return losses.

Why do most Indian dropshippers lose money?

High COD failure rates (30%+ RTO) and rising Meta ad acquisition costs (CPA ₹250–₹400) deplete margins if product pricing does not include an upfront RTO buffer.

How can dropshippers minimize RTO delivery failures?

Call every COD customer to confirm shipping address and PIN code before dispatch, and offer a ₹30–₹50 instant discount incentive for prepaid payment.