COD profit calculator
Estimate your cash-on-delivery offer’s net profit in seconds: confirmation, delivery, returns and ad cost included. No sign-up.
Calculate your COD offer’s profitability
The COD profit calculator starts from your leads, their cost and your confirmation and delivery rates to estimate net profit, profit per delivered order, break-even lead cost and minimum selling price. With the default values (100 leads at 5, 60% confirmation, 55% delivery), the offer makes 151 in net profit.
How to use the COD profit calculator
- 1
Enter your prices and unit costs
Product cost, the price the customer pays, delivery cost and return cost, in your currency.
- 2
Add your advertising
Average cost per lead and number of leads received over the period, as shown in your ads manager.
- 3
Enter your real rates
Confirmation and delivery rates measured on your orders, by country and product, rather than averages.
- 4
Read profit and thresholds
Net profit, break-even lead cost and minimum price: change one input at a time to see which matters most.
What the tool calculates, and how
The formulas are those of the ReadyStore dashboard calculator. Intermediate values are never rounded; only the display is.
| Result | Formula | What it tells you |
|---|---|---|
| Confirmed orders | leads × confirmation rate | Volume to call and prepare |
| Delivered orders | confirmed × delivery rate | The only orders that bring in money |
| Total revenue | delivered × selling price | The cash actually collected |
| Total ad cost | leads × lead cost | The period’s ad spend |
| Ad cost per delivered order | total ad cost ÷ delivered | The real cost of acquiring a paid parcel |
| Total costs | delivered × (product + delivery + delivery handling) + returns × return cost + confirmed × confirmation handling + ads | Everything spent, delivered or not |
| Net profit | total revenue − total costs | What the offer really earns |
| Profit per delivered order | net profit ÷ delivered | The margin on a paid parcel |
| Break-even lead cost | (revenue − non-ad costs) ÷ leads | The most a lead can cost |
| Minimum selling price | total costs ÷ delivered | The price below which the offer loses money |
| Recommended selling price | (total costs + 15 × delivered) ÷ delivered | The price that targets 15 profit per delivered order |
Returns = confirmed − delivered. If no order is delivered, or there are no leads, results that divide by that number show 0.
How to read your results
With cash on delivery, only delivered orders bring in money, but every lead was paid for and every return costs. The calculator puts all three facts into one result.
- Negative net profit: ads, returns or price leave no margin. Check your real rates first.
- Current lead cost above break-even: every lead you buy loses money. Work on targeting, creatives or the offer.
- Selling price close to the minimum: no safety margin if the delivery rate drops.
- A few points of delivery rate change everything: with the default values, going from 55% to 45% takes net profit from 151 to −11.
COD profit calculator FAQ
How do I calculate a COD offer’s profit?
Start from delivered orders, the only ones that pay: revenue = delivered × selling price. Subtract product and delivery costs for delivered orders, the cost of returns, handling costs and all ad spend, since every lead was paid for. The calculator does this for you.
What is the break-even lead cost?
The highest cost per lead at which net profit is zero, given your current prices, costs and rates. If you pay more per lead, the offer loses money.
Why does the delivery rate matter so much?
Because a confirmed order that isn’t delivered creates a return cost with no revenue, while its lead was already paid for. With the default values, ten points less delivery takes net profit from 151 to −11.
Is the calculator free? Are my numbers sent anywhere?
It’s free with no sign-up. No data is sent: your values are only saved in this browser’s local storage so they can be restored on your next visit.
Which currency should I use?
Your market’s currency: dirham, CFA franc, dinar, riyal, euro… Just enter every amount in the same currency.
Is the same calculator available in ReadyStore?
Yes. The ReadyStore dashboard includes this calculator with the same formulas, next to each store’s order statistics and expense tracking.
Keep exploring
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The formula to estimate a COD offer’s margin, accounting for confirmation, delivery and returns.
Learn moreAnalytics and profitability
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Learn moreCash on delivery
Everything needed to get paid on delivery: checkout, confirmation, stock, tracking and measurement.
Learn moreGo from calculation to sales.
Create your COD store and track your real confirmation and delivery rates in your analytics.