How to calculate Amazon net margin after FBA fees

Formula, fee breakdown, and per-SKU calculation from Seller Central data

Definition

What it is

Amazon net margin is the percentage of revenue that remains after subtracting all Amazon fees (referral fee, FBA fulfilment fee, storage fee, return processing fee) and your cost of goods sold. It is the single most important profitability metric for FBA sellers — the number that tells you whether a product is actually making money after Amazon takes its cut.

Formula

Net Margin Formula

Formula

Net Margin (%) = ((Revenue − Referral Fee − FBA Fee − Storage Fee − COGS) ÷ Revenue) × 100

FBA fees include three components: referral fee (% of sale price, varies by category), fulfilment fee (per-unit weight/size charge), and storage fee (monthly, based on cubic footage). All three are available in the FBA Fee Preview report and the Settlement report.

Business impact

Why it matters

Amazon revenue is a vanity metric without net margin. A product with $50,000 monthly revenue and 8% net margin generates $4,000 profit. The same revenue at 3% net margin — common when referral fees, FBA fees, and PPC spend are not fully accounted for — generates $1,500. Many sellers discover their bestseller is barely profitable once all fees are correctly subtracted. Calculating net margin per SKU is the first step to identifying which products to scale and which to discontinue.

The challenge

How most teams track this today

The challenge is that Amazon splits fee data across multiple reports. Referral fees appear in the Orders report. FBA fees appear in the FBA Fee Preview and Settlement reports. Storage fees appear in the Monthly Storage Fee report. Joining all three in Excel to produce per-SKU margin is a multi-step manual process that most sellers do once a month at best.

Run it on your data

Calculate this automatically with Taptic Data

Connect your Amazon Seller Central account and Taptic generates this calculation from plain English against your actual data — no Excel exports, no manual joins. The SQL runs against your real schema, your real tables, your real numbers.

SQL query for Amazon net margin by SKU after FBA fees →Connect Amazon Seller Central →Try Free — $29.99/mo

FAQ

Common questions

What fees do I need to subtract to get Amazon net margin?

At minimum: referral fee (category-dependent percentage of sale price), FBA fulfilment fee (per-unit charge based on weight and dimensions), and monthly storage fee. For a full picture also subtract: return processing fees, long-term storage fees, and any advertising spend (ACoS).

Where do I find FBA fees in Seller Central?

FBA fulfilment fees are in the FBA Fee Preview report and itemised in Settlement reports. Referral fees are in the Transaction View of the Payments report. Storage fees are in the FBA Monthly Storage Fees report. Taptic imports all of these as separate tables and the net margin query joins them automatically.

What is a good net margin for Amazon FBA?

After all Amazon fees (excluding COGS), a healthy FBA product typically shows 20–35% gross margin. After COGS, most successful FBA businesses target 10–20% net margin. Below 8% leaves little room for PPC spend and price fluctuations.

Can I calculate Amazon net margin without knowing my COGS?

Yes — you can calculate net revenue margin, which is revenue minus all Amazon fees but before COGS. This is still highly valuable: it shows how much of your revenue Amazon keeps vs how much you receive, per SKU. Taptic's SQL query for Amazon net margin covers this view with an optional COGS field.

Analytics hub

All Amazon queries, use cases, and SQL examples in one place.

Amazon Analytics hub — queries, use cases, and SQL examples →

Stop calculating this in spreadsheets

Connect Amazon Seller Central to Taptic Data and run this calculation automatically from plain English — against your real data, on a schedule, delivered to your team.

Start Free — $29.99/mo Try the Live Demo