Dropshipping

Supplier Cost Comparison Calculator

Two suppliers rarely differ only on product price: a cheaper unit with expensive shipping can lose to a dearer unit with free shipping. Compare landed cost per order, not headline price.








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Landed cost is only part of the choice: delivery time, defect rate and communication also cost money when orders go wrong. Use this calculator to price the difference, then weigh reliability beside it.

Formula

Landed cost per order = unit cost + shipping per order + per-order fee. Monthly cost = landed cost per order × orders per month. The cheaper supplier is the one with the lower landed cost, and the monthly saving is the per-order difference × orders per month.

How it works

Enter each supplier's unit cost, shipping charge per order and any per-order fee (such as a handling or processing charge the supplier adds), plus how many orders you expect a month. The calculator compares landed cost per order and the total monthly difference. All figures are inputs from supplier quotes — no supplier price is fixed on this page, because supplier pricing changes by product and by seller.

Worked example

Supplier A: unit $10.00, shipping $4.00, per-order fee $1.00 — landed $15.00. Supplier B: unit $8.50, shipping $7.00, per-order fee $0.00 — landed $15.50. Supplier B looks cheaper on unit price alone, but its landed cost is $0.50 higher per order. At 100 orders a month, Supplier A costs $1,500.00 against Supplier B's $1,550.00, a saving of $50.00 a month with Supplier A.

FAQs

Why not compare unit price alone?

Because shipping and per-order fees are part of what you pay for every order. A supplier can win on unit price and still lose once shipping is added, as the worked example shows.

What goes in the per-order fee field?

Any charge the supplier adds per order on top of unit and shipping costs, such as a handling fee. Leave it at zero if the supplier charges none.

Does this include payment fees or ad spend?

No. Those are the same whichever supplier you pick, so they do not change the comparison. Add them afterwards in the Dropshipping Margin Calculator.

Should I switch for a small saving?

Only if the cheaper supplier is also reliable. A saving of a few cents per order is quickly lost if slower delivery or more defects raise refunds and support messages.

Can I compare more than two suppliers?

Run the calculator twice: compare the winner against a third supplier's landed cost, using the same order volume each time.

Stand: October 2026. Pure arithmetic — no platform rate is used; enter your own figures.

Sources: This calculator uses no published supplier price — every figure is an input from supplier quotes you have received. For what the landed cost means for profit, see the Dropshipping Margin Calculator.

Disclaimer: Results are estimates and general information only, not financial advice. Dropshipping has no single fixed platform fee, so every cost on this page is one you enter from your own supplier invoices, shipping bills and payment statements — check those documents before you set a price.

Related calculators

Dropshipping Margin Calculator

Shipping Cost Comparison Calculator

International Shipping Estimator

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Compare suppliers on landed cost, not headline price

A cheaper unit price can still be the dearer supplier once shipping is added.

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