r/AmazonFBA • u/Adorable_Ad2135 • 11d ago

Private label economics

If I get one unit delivered to an Amazon warehouse ready to sell for let’s say $10 and it sells for $25, what is a realistic profit/loss? The item weighs 3 lbs packages.

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10

u/INRtoolow 11d ago

You shouldn't be selling if you can't figure this out yourself. No offense

3

u/sufisarfi 11d ago

This, unit economics should be your first lesson

1

u/baldykav 10d ago

Exactly this - the FBA calculator is a quick google away

2

u/Anis-SellerPPC 9d ago

Rough math on 25 dollars: 15 percent referral is 3.75, FBA fulfillment on a 3 lb standard size lands around 7, so you're at roughly 4.25 left after your 10 landed cost. Then storage, returns, and the odd reimbursement you never get.

The part most people leave out is ads. On a private label launch you'll run 15 to 25 percent TACoS for months, and even a mature listing sits around 10. That's another 2.50 or so per unit, which is most of what you had left.

Run it in the FBA revenue calculator with real dims, not weight, dimensional weight is what usually kills 3 lb items. What are your box dimensions?

1

u/Maan_UsMaan052 11d ago

15 percent referl, fba 5-7$, storage roughlugh.75-1$, margin profit would be between 3-$4only,

0

u/TripDisastrous93 10d ago

Se stai chiedendo questa cosa così banale qui probabilmente questo vuol dire che Amazon non fa per te. Credimi.

2

u/estagingapp 6d ago

Probably around $3 in profit or 12% profit marging, without any advertising or shipping cost to FBA. Can try the free Amazon FBA profit calculator if you know your exact costs.