Discount Code Profit Calculator
Enter your price, cost, fees, and a discount to instantly see the discounted price, your new profit per sale, the new margin, and how many extra sales the coupon has to generate just to match your original profit.
๐ How it works & FAQWhy discounts quietly eat profit
A coupon comes straight out of your profit, not your revenue. If you sell a $25 item that costs $9 to make and clear about $13 after fees, a 15% coupon does not cut your profit by 15% — it cuts it by roughly 26%, because your costs and fixed fees stay exactly the same while the money coming in shrinks. This calculator shows the real damage: the discounted price the buyer pays, your new profit per sale, your new margin, and the number most sellers never check — how many extra sales the promotion has to generate before you are back to the total profit you would have made without it. If a 20% sale needs 60% more orders just to break even, it is not a growth lever, it is a donation. Everything runs privately in your browser; nothing is uploaded.
The default fee figures (6.5% marketplace fee, 3% payment fee, $0.45 fixed per order) are approximate Etsy-style defaults you can edit for any platform — fees change, so check your platform's current rates; results are estimates only, not financial advice.
How to use it
- Enter your item price and your total product cost (materials, production, and any shipping you absorb).
- Adjust the marketplace fee, payment fee, and fixed fees to match the platform you sell on.
- Choose percent off or dollars off and type the discount you are considering.
- Read the cards: discounted price, new profit, new margin, and the extra sales needed to match your original profit. Try a few discount levels and pick the deepest one whose break-even volume still feels realistic.
FAQ
- Why do percentage fees drop when I add a discount?
- Marketplace and payment fees are charged on the amount the buyer actually pays, so they shrink with the discounted price. Fixed per-order fees do not, which is one reason small orders are hit hardest by coupons.
- What does "extra sales to match profit" mean?
- It is the increase in order volume needed so total profit with the coupon equals total profit without it. A +35% result means every 10 full-price sales must become about 14 discounted sales just to break even.
- Why does it say N/A for extra sales?
- Your discounted profit per sale is zero or negative. No amount of volume can recover a loss you take on every single order — shrink the discount or raise the price.
- Should I include offsite ads or promoted listing costs?
- If a fee applies to most orders, fold it into the percentage or fixed fee fields. If it only hits some orders, run the numbers both ways to see your best and worst case.