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Quick-commerce Margin Calculator

See what each unit you supply to Blinkit, Zepto or Instamart earns after margin, promotions, damages and payment delays.

Prepared by ecomca · rates awaiting CA reviewUpdated Calculated in your browser; copied links include your figures

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Calculator

Note:
Example values — replace with yours.
How do you sell on this platform?

Most brand tie-ups with Blinkit, Zepto and Instamart are purchase orders.

Your SKU

The maximum retail price printed on the pack.

The margin in your agreement, as a share of MRP.

Presets are today’s common rates. Use “Custom rate” for any other rate, including special rates and rates for earlier periods.

What one unit costs you, ready to dispatch.

Units invoiced against purchase orders.

Days from your invoice to the payment reaching your bank.

Advanced options
On: your invoice total per unit is MRP less the margin; GST is part of it.

Getting stock to the platform’s warehouses.

Your share of discounts, usually recovered by debit note.

Share of units whose PO value is debited back to you.

Listing, visibility and ad commitments. ITC assumed claimable.

What borrowed money or your own cash costs you.

Your result

Contribution from this SKU a month, before financing

₹1,96,373

Each month this SKU contributes ₹1,96,373 (₹98.19 per unit) before financing.

Share of net sales
30.4%
Cost of waiting to be paid, a month
₹13,099
Contribution after financing, a month
₹1,83,275 (28.4%)
Highest platform margin before a loss
51.30%

Per unit supplied

Per unit supplied
Item₹ per unitHow we got this
PO price (incl. GST)₹349.30
PO price (excl. GST)₹332.67
Kept after damage debit notes₹322.69
Less promotion funding−₹20.00
Less landed cost−₹180.00
Less inbound freight−₹12.00
Contribution per unit₹110.69

The price is what the platform’s buying company pays you per unit. Tap ⓘ to see the working.

Per month

Per month
Item₹ per monthHow we got this
Net sales (kept after damages, excl. GST)₹6,45,373
Contribution before fixed commitments₹2,21,373
Less fixed commitments−₹25,000
Contribution before financing₹1,96,373
Money waiting with the platform₹10,47,900
Less cost of waiting to be paid−₹13,099
Contribution after financing₹1,83,275

Money waiting counts invoices in full, before damage debit notes. The highest margin before a loss is 51.30%, before the cost of waiting to be paid.

What this tells you

When you supply a quick-commerce platform against purchase orders, the platform’s margin comes off MRP, and promotions and damaged stock come back to you as debit notes. You are also paid weeks after you deliver. This calculator brings all of that together for one SKU and shows what it contributes each month.

It also puts a cost on the wait to be paid, and shows the highest margin you could give before the SKU stops covering its costs — useful before you agree terms or a margin increase.

Assumptions used

  • Product GST rate choices: 0%, 5%, 18%, 40%, or a custom rate.
  • You supply stock against purchase orders and invoice the platform’s buying company. Marketplace sales are not covered.
  • The platform margin is a percentage of MRP. By default the PO price (MRP less margin) includes GST; switch this off under Advanced options if GST is added on top.
  • Units that are damaged, expired or returned to vendor are debited back at their PO value, and the stock is not resold.
  • Landed cost, freight and promotion funding are per unit supplied and exclude GST. Fixed commitments exclude GST, with the GST on them claimed as input tax credit.
  • Money waiting with the platform counts invoices for the payment period in full, before damage debit notes, using a 30-day month.
  • The cost of waiting to be paid is the money waiting × your cost of money ÷ 12, a month.
  • Figures are rounded for display only; the working uses exact values.
Legal references and sources
Product GST rate choices
Rate rationalisation effective 22 September 2025 on the recommendations of the 56th GST Council meeting (nil, 5%, 18% and 40%). Use 'Custom rate' for special rates such as 3% or 0.25%, and for 12% or 28% on sales made before 22 September 2025 (28% plus cess continued on tobacco and pan masala until 31 January 2026).
Effective from 22 Sept 2025 · Awaiting CA verification · Official source

How this is calculated

  1. PO price: if it includes GST, PO price incl. GST = MRP × (1 − margin) and PO price excl. GST = that ÷ (1 + GST rate). If it does not, PO price excl. GST = MRP × (1 − margin) and PO price incl. GST = that × (1 + GST rate).
  2. Kept per unit supplied = (1 − damaged share) × PO price excl. GST.
  3. Contribution per unit = kept per unit − promotion funding − landed cost − freight.
  4. Monthly contribution = units × contribution per unit − fixed commitments; per unit = that ÷ units.
  5. Share of net sales = monthly contribution ÷ (units × kept per unit).
  6. Money waiting = units × PO price incl. GST × payment days ÷ 30; cost of waiting = that × cost of money ÷ 12.
  7. Contribution after financing = monthly contribution − cost of waiting.
  8. Highest margin before a loss = 1 − ((fixed ÷ units + promotion + landed cost + freight) × (1 + GST rate)) ÷ ((1 − damaged share) × MRP) when the PO price includes GST; without the × (1 + GST rate) when it does not.

Worked examples

Example: a ₹499 SKU on a 30% margin

A ₹499 MRP product with 5% GST, supplied against purchase orders. The platform keeps a 30% margin on MRP and the PO price includes GST. Landed cost ₹180, inbound freight ₹12 and promotion funding ₹20 per unit; 3% of units come back as damaged, expired or returned to vendor. 2,000 units a month, ₹25,000 a month of fixed commitments, paid in 45 days, money costing 15% a year.

  • PO price ₹499 × (1 − 30%) = ₹349.30 incl. GST, or ₹349.30 ÷ 1.05 = ₹332.67 before GST.
  • After 3% damages each unit supplied realises 97% × ₹332.67 = ₹322.69. Less ₹20 promotion, ₹180 landed cost and ₹12 freight: ₹110.69 a unit.
  • 2,000 × ₹110.69 − ₹25,000 fixed = ₹1,96,373.33 a month, or ₹98.19 a unit and 30.4% of net sales of ₹6,45,373.33.
  • Invoices for 45 days of supply are waiting to be paid: 2,000 × ₹349.30 × 45 ÷ 30 = ₹10,47,900. At 15% a year that costs ₹13,098.75 a month, leaving ₹1,83,274.58.
  • The margin can rise to 51.30% before the month stops covering its costs: 1 − ((₹25,000 ÷ 2,000 + ₹20 + ₹180 + ₹12) × 1.05) ÷ (97% × ₹499).
PO price (incl. GST)
₹349.30
PO price (excl. GST)
₹332.67
Kept per unit after damages
₹322.69
Contribution per unit
₹110.69
Contribution a month, before financing
₹1,96,373.33
Per unit, after fixed commitments
₹98.19
Share of net sales
30.4%
Money waiting with the platform
₹10,47,900.00
Cost of waiting, a month
₹13,098.75
Contribution after financing
₹1,83,274.58
Highest margin before a loss
51.30%

Our Ecommerce Accounting service reconciles quick-commerce purchase orders, invoices, debit notes and payments every month.

Questions sellers ask

Is the platform margin worked out on MRP or on the selling price?

This calculator takes the margin as a percentage of MRP, the way many purchase-order agreements state it, so a 30% margin on a ₹499 MRP leaves a PO price of ₹349.30. Some agreements use the selling price after the platform’s own discount, or state a fixed price per unit. If yours does, enter the margin that gives the same PO price: 1 − (your PO price ÷ MRP).

How are promotions and damaged stock recovered from me?

Usually by debit note. The platform raises a debit note for your share of a promotion, and for stock that is damaged, near expiry or returned to you, and deducts it from your next payment. Enter promotion funding per unit, and the share of units debited back, under Advanced options. Match each debit note to its purchase order when you reconcile.

How long do quick-commerce platforms take to pay?

It depends on the credit terms in your agreement, counted from your invoice. Until you are paid, the stock you supplied is money waiting with the platform. The calculator puts a monthly cost on that wait at your cost of money, so you can compare terms such as 30 and 45 days.

Should listing, visibility and ad fees be included?

Yes, when you have committed to them for the month. Enter them excluding GST under “Fixed monthly commitments”, assuming you claim the GST on them as input tax credit. They are spread over the units you supply, which is why the highest margin you can give falls as volumes fall.

What is the difference between the purchase-order model and the marketplace model?

In a purchase-order (PO) model, you sell the stock to the platform’s buying company: you invoice that company, deliver to its warehouse and are paid on credit terms, and it then sells to customers. In the marketplace model, you sell to the customer through the platform, which deducts its fees from your payout. GST TCS is collected when the platform collects payment for supplies made through it. Legal reference: Section 52, CGST Act, 2017 — 0.5% of the net value of taxable supplies (supplies minus returns in the month, excluding GST): 0.25% CGST + 0.25% SGST/UTGST within a state, 0.5% IGST between states, from 10 July 2024 under Notification No. 15/2024–Central Tax dated 10 July 2024 and the corresponding Integrated Tax and Union Territory Tax notifications (1% before). Not collected on exempt or nil-rated supplies; where returns exceed supplies in a month, the negative value is ignored and not carried forward (CBIC TCS FAQs, Q14 and Q20–21).

Work out a marketplace payout instead

How should I allow for expiry and shelf life?

Platforms usually accept stock only with enough shelf life left, and send back or debit units that come close to expiry. For products with a short shelf life, include those units in the damaged, expired or returned-to-vendor share, and plan purchase-order quantities around how fast each dark store sells.

Want our team to check these numbers against your actual settlement reports?

We reconcile marketplace settlements, GST and TDS for D2C and marketplace sellers every month. Share your reports and we will walk you through what we find.

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Disclaimer

Indicative estimate for general information only, based on the assumptions shown on this page. It is not professional advice. Rates on this page have not yet been verified by a CA.

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