Calculate your store's gross profit margins to optimize pricing and profitability
Interactive calculator coming soon!
Gross profit is the revenue from sales minus the cost of goods sold (COGS). It's a key indicator of how efficiently a business converts its inventory into profit before accounting for operating expenses.
Understanding your gross profit helps you set appropriate pricing, identify profitable products, and make informed decisions about inventory management. A healthy gross profit margin ensures you can cover operating expenses and marketing costs while maintaining profitability.
Learn more about optimizing your advertising spend based on profit margins in our ROAS Calculator tool.