- 01
All variable costs included
- 02
Paid-only metric labeled
- 03
Actual settlements reconciled
1.Build a per-order model
Start with revenue after discounts. Subtract product cost, fulfillment, applicable platform fees, creator commission and an expected returns reserve. Enter current costs from your own agreements; calculator examples are not official fee schedules.
2.Find the paid spend ceiling
Pre-ad contribution is the simplified break-even ad cost per order. Divide net revenue by positive pre-ad contribution for paid-only break-even ROAS. Reserve additional margin if you need to cover overhead or produce a target contribution.
3.Reconcile rather than double-count
GMV Max attribution can include organic and affiliate orders for promoted products. Its ROI is not paid-only ROAS or proof of incremental lift. Reconcile settlements, commissions, refunds and actual spend for the same period.
Worked example
Illustrative: $36 net revenue less $23.56 variable cost leaves $12.44 before ads; spending $4 leaves $8.44, before overhead.
Watch for this mistake
Do not subtract an estimated return reserve and the same actual refund twice in the reconciled P&L.
Practical assignment
Use the profit calculator and save a base, lower-price and higher-cost scenario.
- All variable costs included
- Paid-only metric labeled
- Actual settlements reconciled
Assignment templates
Official references
Source review: October 21, 2026. Platform rules can change; consult current documentation.