How is dropshipping profit calculated in Pakistan?

Profit per delivered order = retail price + shipping charged to customer − wholesale cost − courier fee − COD collection fee − platform commission − return/RTO cost share. This calculator applies all of those, including an RTO rate so refused parcels are priced in.

What is RTO and why does it reduce profit?

RTO (return to origin) is a refused or undelivered COD parcel. You still pay the courier for the failed trip in most cases, so a 15% RTO rate means roughly 15% of orders earn nothing and still cost the courier fee.

What margin should a reseller target?

After courier, COD fees, commission and a realistic RTO rate, aim for at least Rs 300–500 net per order on low-ticket items — below that, a single refused parcel can wipe out the profit of several delivered ones.

Does SYEZPOS charge commission on dropshipping orders?

The marketplace commission is a configurable percentage of the retail price — the engine default is 5% — invoiced monthly with automatic credits on returned orders. Partner terms are agreed at onboarding during early access.

Can I use this calculator for COD and prepaid orders?

Set the COD fee field to your courier's collection charge (or 0% for prepaid/JazzCash/EasyPaisa orders) — the rest of the math is the same.

Free tool · Dropshipping Network

Dropshipping profit calculator for Pakistan.

Most reseller math stops at "retail minus wholesale." Real margin is what survives the courier fee, the COD collection charge, platform commission and the refused parcels. Enter your numbers — defaults are a typical Pakistani COD order.

Your numbers

Wholesale price (Rs)

Your retail price (Rs)

Delivery charged to customer (Rs)

What the customer pays for shipping.

Courier fee you pay (Rs)

Flat courier charge per parcel.

COD collection fee (%)

Courier's charge on collected cash. 0 for prepaid.

Marketplace commission (%)

SYEZPOS engine default is 5%.

RTO / refusal rate (%)

Share of orders the customer refuses. 10–25% is typical for COD.

Orders per month

Your margin

Customer pays (retail + delivery): Rs 2,000
Total cost per delivered order: − Rs 1,570
COD collection fee: incl. Rs 30
Marketplace commission: incl. Rs 90
Margin per delivered order: Rs 430
Cost of each refused parcel: − Rs 280

Expected profit / order

Rs 324

After weighting delivered orders against 15% RTO losses.

Expected monthly profit

Rs 32,350

50%

markup on wholesale

61%

delivery rate to break even

How to read it

The numbers that decide whether a product is worth selling

Markup is not margin. A 50% markup on wholesale sounds strong until the courier fee, COD charge and one refused parcel in every six come out of it. Watch "margin per delivered order," not markup.

RTO is the silent killer. The "delivery rate to break even" line shows the minimum share of parcels that must deliver for the product to make money. If your confirmation workflow is weak, fix that before raising prices — confirming orders on WhatsApp before dispatch is the cheapest margin protection there is.

Charge delivery deliberately. Free shipping converts better but absorbs the full courier fee into your margin — and RTO parcels still cost you the trip. Most Pakistani resellers charge a flat Rs 200–300 and convert fine.

FAQ

Questions, answered

Margin math, RTO and fees.

Numbers work? Sell it on your own storefront.

SYEZPOS tracks this math automatically — wholesale cost, commission and margin post per order. Join the dropshipping early access to start.

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Storefront, marketplace catalog and COD settlement in one system — margin tracked per order, not in your head.

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