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Nova Analytics

1P vs 3P margin calculator Vendor Central vs Seller Central

Enter Amazon's offer. The calculator shows whether 1P or 3P leaves more per unit.

Check the offer

Enter Amazon's offer

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Recommendation

Keep selling 3P

Keep the 3P sale on unit economics: it nets $2.04 more per unit.

3P net

$7.94

26.5% of retail

1P net

$5.90

19.7% of retail

32.8% of wholesale

Break-even

32.2%

discount

Unit economics only. Check volume and cash before deciding.

12 illustrative 1P fields remain

Illustrative example, not a benchmark. Replace the marked 1P terms before relying on the result.

Assumed FBA tier: Large Standard

Before you decide

1P volume needed

+35%

1P cash

$8.75 for 60 days

3P cash

$8.60 for 74 days

Volume excludes PO cuts and discontinued orders. 3P cash timing includes 2 months in FBA and the roughly 14-day payout cadence.

Check the result against your Amazon remittances

See Vendor Central analytics

Where each number comes from

3P runs on published rates

Referral fee by category, FBA fulfilment by size tier and shipping weight, monthly storage, inbound placement, low-inventory-level and the aged-inventory surcharge. These are Amazon's own published US figures, verified on May 19, 2026, and the same engine powers the Amazon FBA calculator.

1P runs on your agreement

Amazon publishes no vendor rate card. Wholesale cost, MDF, damage allowance, base accrual, chargebacks, freight terms and payment terms are negotiated per vendor, so every 1P field here is user entered. Nova does not publish a typical co-op or chargeback rate, because there is no honest one to publish.

For the reporting side of the same question, see Vendor Central analytics and the basics of Vendor Central Retail Analytics. For the business-model comparison in prose, read Vendor Central vs Seller Central.

How to compare 1P and 3P (6 steps)

  1. 01

    Enter your retail price and category

    The category sets the referral rate on the 3P side. Add dimensions and weight so the FBA fulfilment fee and storage are calculated at the right size tier.

  2. 02

    Add your 3P costs

    COGS, inbound freight, ads as a TACoS percentage, returns leakage, and the number of months the unit sits in FBA before it sells.

  3. 03

    Enter the wholesale price Amazon offered

    Type it as a dollar figure or as a percentage off retail, whichever way your buyer phrased it.

  4. 04

    Add your vendor agreement terms

    MDF, damage allowance and base accrual as a percentage of purchase value, chargebacks as a percentage of PO value, freight terms and payment terms.

  5. 05

    Read the three outputs

    Net margin per unit on both models, the break-even wholesale discount, and how much more volume 1P has to do to match 3P total profit.

  6. 06

    Check the cash column

    Compare net 30, 60 or 90 against the 3P payout cadence and the capital tied up in FBA stock before you commit to a model.

Glossary

1P
You sell wholesale to Amazon, Amazon resells to the shopper.
3P
You sell direct to the shopper on Seller Central.
Base accrual
A standing percentage of purchase value deducted from your remittance.
MDF
Market development funds, a marketing allowance taken off invoice.
Chargeback
A penalty for shipment non-compliance, priced against PO value.
Break-even wholesale discount
The discount off retail at which 1P nets exactly what 3P nets.

1P vs 3P calculator FAQ

Find answers to common questions about our platform

On 1P, Vendor Central, you sell wholesale to Amazon and Amazon resells. On 3P, Seller Central, you sell to the shopper and pay Amazon a referral fee plus fulfilment. 1P earns the wholesale margin, 3P keeps the retail margin.
Amazon's published US schedule: referral fee by category, FBA fulfilment by size tier and weight, monthly storage, inbound placement, low-inventory-level and aged-inventory surcharge. Rates verified on May 19, 2026.
From you. Amazon negotiates wholesale cost, co-op, allowances, chargebacks, freight terms and payment terms separately with every vendor and publishes none of it. The calculator ships one clearly labelled illustrative example and nothing else.
The wholesale price at which 1P nets exactly what 3P nets, shown as a percentage off your retail price. If Amazon offers a deeper discount than that figure, the PO makes you less than selling the same unit yourself.
Because it usually nets less per unit. The volume crossover divides 3P net by 1P net and reports the extra units 1P must move. It counts units only, not the fact that Amazon sets and can cut the order.
Yes. It puts your 1P payment terms of net 30, 60 or 90 next to Amazon's published seller disbursement cadence of roughly 14 days, plus the working capital tied up in the months your FBA inventory sits before it sells.