SRShopROAS

Desk lamp example

$36.99 desk lamp profit margin example

Desk lamps can make a nice visual demo, especially for study setups. The math is less pretty once box size, damage risk, and replacement units are included.

Original ShopROAS visual showing a desk lamp profit margin breakdown
Original ShopROAS visualFictional planning numbers for desk lamp sellers. No product photo or creator clip is used.
Cost stack$3.68 net profit
Margin10.0%Bulky freight
Product cost$11.20
Shipping + packaging$6.40
Platform/payment fees$2.96
Creator commission$5.55
Ad spend per order$4.80
Return reserve$2.40
Estimated profit$3.68

Example numbers

Selling price$36.99
Product cost$11.20
Shipping + packaging$6.40
Platform/payment fees$2.96
Creator commission$5.55
Ad spend per order$4.80
Return reserve$2.40
Estimated profit$3.68
Estimated margin10.0%

What the math says

This is thin. Test only if the supplier packaging is strong and the demo angle is clear. A small increase in shipping or returns can wipe out the profit.

These are fictional planning numbers. Replace them with your supplier quote, packed shipping cost, commission plan, ad budget, and refund reserve before spending real money.

Test notes

Run your version

If the product only works when every assumption is perfect, it is too early to scale. Run the calculator first, then put the product into a small test budget.

Source notes

References to check

The visual on this page is original to ShopROAS. These platform and policy references are useful before buying samples or paying creators.