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Shipping Cost in Profit Models

Treat shipping as a first-class line item so promotions and carrier changes do not surprise your net margin.

Ecommerce profit calculatorCOGS vs landed cost guideFormula reference

Per-order allocation approach

Divide blended monthly shipping spend by fulfilled orders, then add surcharges for overweight zones or rush service.

  • Separate outbound delivery from packaging materials if helpful
  • Update the rate when carrier contracts renew

Related guides

COGS vs Landed Cost: Which Should You Use in Ecommerce Profit? →How to Calculate Profit Margin for Ecommerce (Step-by-Step) →Gross Margin vs Net Profit Margin: What Ecommerce Sellers Should Track →Should Ad Spend Be Included in Ecommerce Profit Calculation? →

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Ecommerce profit calculatorCOGS vs landed cost guideFormula reference