Supplement profit margins explained (with calculator)
By Scale1 Team · Updated · 1 min read
Short answer
Your supplement profit per sale is your price minus product cost, shipping, payment fees and marketing cost per sale. For example, selling at $39 with about $12 in product and shipping leaves about $27 before payment fees and ads. Repeat customers raise profit most, because you don't pay to acquire them again.
The simple formula
Profit per sale = price − (product + shipping) − payment fee − marketing cost per sale
And as a percentage: margin = profit per sale ÷ price.
Worked example
| Amount | |
|---|---|
| Your price | $39 |
| Product + shipping | −$12 |
| Gross profit per sale | $27 |
| Payment fee | a few percent of the price, charged by Stripe |
| Marketing cost per sale | depends on your channel |
This is an example only. On Scale1, every product shows its real product and shipping cost and a suggested price, so you see your profit before you publish.
Why repeat customers matter most
If a customer costs you money to reach (for example through ads), the first order may only break even. The second, third and fourth orders are where the profit is, because you don't pay to acquire that customer again. That's why daily-use products and a brand customers remember are worth more than a one-time bestseller.
How to improve your margin
- Raise the price slightly and add value with better branding and content.
- Offer bundles (for example a 2-product routine) that raise the order value.
- Use free shipping thoughtfully: build the shipping cost into your price.
- Lower acquisition cost with organic content, referrals and email.
- Move bestsellers to bulk later, if volume justifies it.
Try the calculator
Use the supplement profit calculator to see how price and monthly orders change your profit.
Frequently asked questions
What is a good profit margin for supplements?
It depends on your costs and channel. Many brands aim for a gross margin (after product and shipping) well above half the price, so there is room for marketing and fees.
Does Scale1 take a percentage of my sales?
Only a small one: 0.85% per order. Scale1 costs $49/month. On each order, the product and shipping cost is used to pay the supplier, Scale1 keeps 0.85%, and Stripe's standard card processing fee is passed on at cost.
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