MAHMOUD ABDELNABY
E Commerce · STATIC INTERACTIVE TOOL · 2

E-Commerce Contribution Margin & Break-Even Unit Economics Model

Know your real profit before scaling ad spend. Calculate exact contribution margins and break-even ROAS factoring GCC payment fees and COD returns.

Problem it addresses

Build an open-source e-commerce unit economics and break-even ROAS calculation toolkit: 1) Single-file responsive HTML/JS calculator (unit_economics.html) calculating Contribution Margin 1, 2, and 3, factoring Product COGS, Shipping, Payment Fees (Mada, Credit Card, Tamara 6.5%), Return Rates, and Ad CAC, 2) Excel financial model with sensitivity tables, 3) Break-even ROAS formula guide.

Who it is for

BOTH operating in high-growth e-commerce, digital publishing, and direct-response marketing across Saudi Arabia, UAE, and Egypt.

What is inside

Key files listed in the README repository architecture:

  • docs/break-even-roas-formulas.md
  • LICENSE
  • models/ecommerce-unit-economics-master.xlsx
  • README.md
  • src/sku_margin_analyzer.py
  • tests/test_calculator.py
  • tools/unit_economics.html

How to evaluate and use it

  1. Read the README first and confirm that the documented problem matches your use case.
  2. Inspect the listed files to find the data, tools, templates, and tests relevant to your task.
  3. Follow the repository’s Quick Start and check prerequisites before running commands.
  4. Compare outputs with documented examples and review limitations before using them in a decision or client workflow.

Quick Start from the README: python -m unittest discover -s tests · python src/sku_margin_analyzer.py --help

Scope and limitations

  • Fully-Loaded Landed Cost: Incorporates COGS, international freight, customs and tax assumptions, clearance fees, and Saudi VAT inputs that must be verified for the product and shipment.
  • Payment Gateway & COD Surcharges: Models payment and COD fees using editable assumptions supplied by the merchant.
  • Contribution Margin 3 (CM3): Calculates true profitability after deducting marketing acquisition costs (CAC) and estimated return-to-origin losses.

This page summarizes the available documentation; it does not establish performance or business results. Verify data and prerequisites before use.

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