Customer Profitability Calculator
High revenue is not the same as profitable.
Customer profit
$177.80
28.7% of their revenue
Support and returns cost $48.00, which is 17.6% of the contribution this customer produced. High-revenue customers are not automatically profitable ones, and the difference only appears when service cost is allocated per customer.
How the Customer Profitability Calculator works
Support and returns can consume a large share of the contribution a customer produces. High-revenue customers are not automatically profitable ones, and the difference only appears when service cost is allocated per customer rather than pooled.
Not financial advice. Marketplace fees change, and they vary by country, plan and seller status. Every rate here is an editable default, not a quoted price — check the platform's current fee schedule before you price a product against it. This is not tax or business advice.
Frequently asked questions
How do I calculate profit per customer?
Contribution from their revenue, less acquisition cost, less the support and returns they actually generated. The last term is the one that is almost never allocated.
Are some customers unprofitable?
Frequently. Heavy returners and high-support customers can cost more to serve than their contribution covers, and they are invisible in aggregate reporting.
What do I do about unprofitable customers?
Understand the cause first. Returns from sizing problems are fixable with better information; a customer who genuinely costs more than they pay may need a different service level.
How do I allocate support cost?
Tickets times average handling cost is crude and workable. Perfect allocation is not the point — knowing which customers are on the wrong side of the line is.