You have a product in mind that you want to sell on Amazon, and you’re feeling good about possibly sourcing it. Until a nagging question arises: How much money can I actually make on this thing? What will my FBA fees be?
Then more questions.
What are the fees Amazon is going to charge me for selling in their marketplace? What about for storing my product in their distribution facilities, for order picking, packing, shipping, and delivery?
Making money on Amazon suddenly looks and feels pretty expensive.
Don’t panic; don’t give up your dream. There is a way you can easily find how much profit you can make on any product, minus fees and expenses. You can even see the amount of money you need to spend in product sourcing to be successful. Get the lay of your financial land with Viral Launch’s Amazon FBA Calculator.
Count The Cost
Viral Launch’s Amazon FBA Calculator calculates how much profit you can make, factoring in Amazon FBA fees and expenses to list your product. It helps you see how much you could make on a given product, accounting for Amazon fees and the cost of inventory month by month.
But how much money am I going to have to lay out upfront? When am I going to make money?
While other calculators can’t or won’t show you upfront cost, the Viral Launch FBA Revenue Calculator does so you can see your total initial outlay alongside your total profitability. You’ll see clearly how much cash it will take to source that product you think you want to sell and how much you will make on that run of inventory.
Our calculator offers a more realistic picture of what it will take to bring your product to market. It eliminates the guesswork, smooths the process and, perhaps most importantly, removes the fear of financial failure.
We’ll take you through how the Amazon Revenue Calculator works in a bit. But first we need to figure out exactly what costs are incurred. Known as FBA Fees, these variable expenditures pay for all of the Amazon order handling, pick and pack, shipping, weight handling, and inventory storage in Amazon’s warehouses.
FBA Fulfillment Fee: This charge rolls Order Handling, Pick and Pack, and Weight Handling fees into one tidy sum.
Monthly Inventory Storage Fee: As the name suggests, this is what you pay for Amazon to put a warehouse roof over your inventory.
Calculate FBA Fees and Projected Revenue
Now, back to the your item sourcing. Say you might want to source an ornate glass teapot.
Plug in the product URL or ASIN of the product you would like to emulate.
Click Calculate on the FBA calculator, watch the magic happen.
The FBA calculator shows the current retail price, ASIN, product weight and dimensions, followed by Profit Per Unit. This is what you’re grossing after the Referral Fee and Amazon fees have been lopped off.
From there the FBA calculator takes you into the nitty gritty – your product’s Upfront Cost, ongoing Monthly Expense, expected Monthly Profit, and Total Profitability on your current run of inventory. You can even adjust product dimensions and hit the Advanced Settings to get the complete picture. Everything from your Landed Unit Cost folding in your manufacturing charge, Diligence Costs that cover inspection, duty and sourcing agent fees. All of your product incidentals like photography, package design, and more.
Click the plus signs in the adjacent fields to see the same product at different desired price points and profits. Add similar products to compare. Then decide whether you want to take the next step with this product or plug in a different one.
Calculate, Then Research
Once you’ve counted FBA fees, extra costs and projected profits with the Amazon FBA calculator, follow up with Market Intelligence, our Amazon product research tool. Research trends, price trends, and more to see how competitive the market you’re about to wade into really is. Is it even a good market?
Check out our Amazon Fee Calculator today!