1P vs 3P Calculator

How much revenue are you losing on Vendor Central?

Amazon buys your product at wholesale price, but before you get paid, it takes out fees in several areas. Put in your vendor terms and see what they leave you per unit and per year, next to Evolved Commerce’s averages.

Built by Gabe Ray, Co-Founder and CRO, who negotiates these terms.

More profit a year with Evolved Commerce

+$67,123

That’s $3.73 more on every unit, at 1,500 units a month.

For Vendor Central to match it, Amazon would have to buy at 61.7% of retail ($24.66), not 50%.

One unit, line by line

Per unit	Vendor Central, your terms	Evolved Commerce, averages	Worth to you
Paid for the unit50% vs 45% of retail	$20.00	$18.00	−$2.00
Co-op and marketingYou 10% · EC none	−$2.00	None	+$2.00
Returns, damages, chargebacksYou 5% · EC carries them	−$1.00	EC carries them	+$1.00
Payment-terms discountYou 2% · EC none	−$0.40	None	+$0.40
Freight allowanceYou 3% · EC 1.5%	−$0.60	−$0.27	+$0.33
Net to the brand$16.00 vs $17.73	$16.00	$17.73
Amazon Ads, your shareYou 10% · EC 50% of 10%	−$4.00	−$2.00	+$2.00
COGS	−$9.50	−$9.50
Profit per unit$2.50 vs $6.23	$2.50	$6.23	+$3.73
Margin · a year	6.2% · $44,946	15.6% · $112,069	+$67,123

Plus is in your favour with EC, minus is in Vendor Central’s. The last column adds up to the profit gap. EC averages: [SOURCE · SAMPLE · DATE, to confirm with Gabe]

Want real terms next to the ones you just entered?

Your numbers and your five terms go with the form, so the first call starts from them. EC’s column is an average, not an offer.

Brands we support

Who this calculator is built for

Brands on Vendor Central, or holding an invitation, who want to see what the deductions cost per unit.

Brands heading into a vendor renegotiation who want to know what each point is worth.

Established brands with steady demand and healthy margins weighing a distributor.

Brands on Vendor Central, or holding an invitation, who want to see what the deductions cost per unit.

Brands heading into a vendor renegotiation who want to know what each point is worth.

Established brands with steady demand and healthy margins weighing a distributor.

Amazon pays more. Then it takes it back.

The purchase order is the number everyone quotes. The deductions come later, line by line, off the invoice. On typical terms they take about 20% of what Amazon paid, before a single ad.

Amazon’s purchase order$20.00

Co-op and marketing, 10%−$2.00

Returns, damages, chargebacks, 5%−$1.00

Payment-terms discount, 2%−$0.40

Freight allowance, 3%−$0.60

What reaches you$16.00

What the numbers don't call you should consider

Price control

EC sells as the single authorized seller and enforces MAP. That protects your price on every channel, and it isn’t in the table.

Unauthorized sellers

One seller on the listing means no one else undercutting your price on it.

Cash timing and inventory

When you get paid and who holds the stock change the picture too. We’ll cover both on the call.

Kits and bundles

On Vendor Central, Amazon decides which items it buys. With us, you can add multipacks, kits and bundles next to your core SKUs. The table only counts what you sell today.

Before you trust the number

Why does EC pay less than Amazon and still come out ahead?

Are EC’s numbers an offer?

What does “EC covers returns” mean?

Does this include MAP enforcement?

Want this run with your full catalogue?

Send us your current vendor agreement and we’ll put real terms next to it for your top products. You keep the analysis either way.

Run this on my real terms