When it comes to selling online, knowing your sales numbers isn’t enough. The real question is — how much of that revenue do you actually keep?
That’s where your margin of sales comes in.
So, what exactly is the margin of sales?
In simple terms, your margin of sales (often called profit margin) shows how much profit you make after covering your costs.
It’s the percentage of each sale that remains as profit once all expenses are paid.
Think of it as your real earning power per sale.
The basic formula
Profit Margin = (Net Profit ÷ Revenue) × 100
Let’s say you sell a product for $100, and after deducting all your costs — shipping, fees, packaging, ads, etc. — your net profit is $25.
Your profit margin would be:
(25 ÷ 100) × 100 = 25%
That means for every $100 in sales, you keep $25 as profit.
Why your margin matters
Your margin isn’t just a number — it’s a health indicator for your business.
A higher margin means your business is efficient, pricing is smart, and costs are under control.
A lower margin often signals that something needs attention — maybe your shipping costs are too high, your ads are eating your profits, or your pricing needs a rethink.
Margins also help you:
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Compare performance across different products or marketplaces
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Identify which SKUs are truly profitable
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Decide where to invest your time and marketing budget
Different types of margins
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Gross Margin: Revenue minus cost of goods sold (COGS) — shows profit before expenses like marketing or shipping.
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Operating Margin: Profit after operating costs (ads, salaries, software, etc.).
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Net Margin: The final, all-inclusive profit after every cost — your true take-home percentage.
How AnyProfit helps
Manually calculating margins across marketplaces can get messy fast.
That’s why AnyProfit automatically tracks your revenue, costs, and fees to calculate your true margin of sales — product by product, marketplace by marketplace.
So instead of guessing where your money goes, you can finally see exactly how much you keep — and what’s holding you back from keeping more.
Start tracking your real margins today → anyprofit.io
Because knowing your margin isn’t just smart — it’s the first step to scaling profitably.