Shopify true profit — what DTC brands miss
Shopify doesn’t take a per-sale marketplace cut like Etsy, but payment processing, shipping subsidies, returns, and Meta/TikTok CPA still crush margin. Subscription cost is separate — this page is about per-unit economics.
Per-order costs to model
- Shopify Payments — typically ~2.9% + $0.30 (varies by plan/country)
- Third-party gateway — extra % if you don’t use Shopify Payments
- COGS + packaging
- Outbound shipping — especially when you offer “free shipping”
- Ad spend per unit — divide campaign spend by units sold
Why “60% margin” lies
A $60 hoodie with $24 COGS looks like 60% gross margin. Add $5 ship, $2 processing, $8 ads → you’re near 35% contribution before returns and overhead.
Open Shopify profit calculator →Starting a Shopify store?
Model per-order margin first, then launch when the math works. Start Shopify (affiliate — we may earn commission).