Magnify · Margin Max

Google Shopping Profit Audit: Step-by-Step

A Google Shopping profit audit combines attributed revenue and ad spend with product-level contribution margins to identify SKUs that may lose money despite acceptable ROAS. Without reliable costs, refunds and attribution inputs, the result is an opportunity assessment rather than verified net profit. Export Shopping or Performance Max product-level performance for a suitable time range and check conversion-value reliability. Join each product ID to catalog cost of goods, discounts, shipping, payment fees, returns and other variable costs when available. Compute pre-ad contribution margin = (revenue − non-ad variable costs) / revenue. Break-even ROAS = 1 / contribution margin as a fraction, if that margin is positive. Example: $10,000 revenue and $2,500 ad spend equals 4× ROAS. At 50% pre-ad margin it leaves $2,500 contribution after ads; at 20% margin it loses $500. Prioritize products by evidence quality, volume and contribution after advertising; use Merchant Center and tracking diagnostics before changing bids or exclusions.