Worked profit example
Assume a $50 net sale with a $3 platform referral fee, $14 product cost, $6 seller shipping and packaging, $0.32 expected return loss and $5 advertising cost.
| Cost or result | 15% rate | 20% rate |
| Creator commission | $7.50 | $10.00 |
| Other entered costs | $28.32 | $28.32 |
| Estimated profit | $14.18 | $11.68 |
| Estimated margin | 28.4% | 23.4% |
The 20% offer reduces estimated profit by 17.6% compared with the 15% scenario in this example: $2.50 divided by $14.18. That does not make 20% wrong; it defines the extra result the higher rate must earn.
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