Know Your Margins. Keep More Profit.

Most resellers don't know their true profit margin after fees, shipping, and time. TurnGoods tracks it automatically — per item, per category, per marketplace.

Last updated: May 2026

tl;dr: True resale profit = sale price minus cost of goods, marketplace fees, shipping, packaging, and time. Australian resale margins range from 15-30% (electronics) to 60-80% (op shop items). TurnGoods calculates your exact margins automatically per item, category, and marketplace.

Average Resale Profit Margins by Category

Not all resale categories are equally profitable. Here's what the data shows for Australian resellers:

CategoryGross MarginAfter Platform FeesAfter All Costs
Luxury Handbags50-70%40-55%35-50%
Luxury Watches40-60%30-45%25-40%
Streetwear40-60%30-50%25-45%
General Fashion20-40%15-30%10-25%
Electronics15-30%10-20%5-15%
Homewares25-45%20-35%15-30%
Books & Media30-50%25-40%20-35%
Op Shop / Thrift60-80%55-75%50-70%

How Marketplace Fees Eat Your Margins

A $200 item with a 50% gross margin ($100 profit) looks great — until you factor in marketplace fees:

PlatformFeeNet on $200 SaleMargin After Fee
Gumtree (local pickup)Free$200.0050.0%
eBay Australia13%$174.0037.0%
Depop10%$180.0040.0%
Grailed9%$182.0041.0%
Etsy6.5% + $0.20$186.8043.4%
Vestiaire Collective15-25%$150-17025-35%

That "50% margin" on eBay is actually 37% — a 26% reduction in profit.

How to Calculate True Profit

Most resellers calculate: Sale Price - Purchase Price = Profit. That's wrong. Here's the real formula:

True Profit Formula

True Profit = Sale Price - Cost of Goods - Marketplace Fee - Payment Processing - Shipping Cost - Packaging Cost - Time Value

Example: $200 Designer Jacket on eBay

ItemAmount
Sale price$200.00
Cost of goods (purchased at op shop)-$20.00
eBay final value fee (13%)-$26.00
Shipping (Australia Post satchel)-$12.00
Packaging materials-$3.00
Time (30 min listing + 15 min packing @ $30/hr)-$22.50
True Profit$116.50
True Margin58.3%

Most resellers would say this was a $180 profit (90% margin). The real number is $116.50 (58.3%). Still good — but very different.

How TurnGoods Tracks Margins Automatically

Per-Item Margin

See the exact profit on every item sold — after fees, shipping, and consignor commission. No spreadsheets required.

Per-Category Margin

Which categories are your most profitable? TurnGoods aggregates margin data across all your sales by category so you can focus sourcing on high-margin items.

Per-Marketplace Margin

Compare your net margin on eBay vs Gumtree vs in-store sales. You might be surprised which platform is actually most profitable after fees.

Per-Consignor Margin

Track which consignors bring the most profitable items. Focus your consignor relationships on the ones who deliver real margin, not just volume.

3 Ways to Improve Your Margins

Stop Guessing. Start Tracking.

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Frequently Asked Questions

What are typical profit margins for resale businesses in Australia? +
Margins vary by category: luxury handbags average 40-60%, streetwear 30-50%, general fashion 20-40%, electronics 15-30%, and op shop items 60-80%. Consignment stores typically keep 40-60% of the sale price.
How do marketplace fees affect resale profit margins? +
eBay takes 13% of the sale price, Depop 10%, Grailed 9%, and Vestiaire Collective 15-25%. These fees can reduce a 50% gross margin to 30-35% net. TurnGoods calculates your exact net margin per platform.
How do I calculate true profit on a resale item? +
True profit = sale price minus cost of goods, marketplace fees, payment processing, shipping, packaging, and your time. Most resellers forget to account for shipping materials and time, which can add 5-10% to true costs.
Is consignment more profitable than buying and reselling? +
Consignment has lower margin per item (40-60% vs 100% on bought items) but zero upfront cost, which means better return on capital. A store with $10,000 stock invested in purchased inventory makes less total profit than one with $50,000 consigned stock.
How can I improve my resale profit margins? +
Three strategies: sell on the lowest-fee platform for each item, use AI pricing to avoid underpricing, and track margins by category to focus on your most profitable items. TurnGoods does all three automatically.
Does TurnGoods track profit margins automatically? +
Yes. TurnGoods calculates margin per item, per category, per marketplace, and per consignor. You see real-time margin data in your dashboard without any manual spreadsheet work.