--- title: Amazon Seller Profitability Framework description: Understand the transition from Amazon Settlement Report V1 to V2, including column changes, fee consolidation, and how to read amount-type and amount-description fields. --- [Skip to content](https://help.intentwise.com/amazon-seller-profitability-framework#main-content) ![footer-logo.png\]](https://help.intentwise.com/hs-fs/hubfs/footer-logo.png?width=210&height=40&name=footer-logo.png) Open main navigation Close main navigation Advice and answers from Intentwise - There are no suggestions because the search field is empty. 1. [Knowledge Base](https://help.intentwise.com/?hsLang=en) 2. [Intentwise Analytics Cloud](https://help.intentwise.com/intentwise-analytics-cloud?hsLang=en) 3. [Intentwise Analytics Cloud features](https://help.intentwise.com/intentwise-analytics-cloud?hsLang=en#intentwise-analytics-cloud-features) # Amazon Seller Profitability Framework ## Read this article to learn about the profitability metrics available in Intentwise's Profitability dashboard for Amazon Seller accounts, including what each metric represents, how it is calculated, and how the metrics work together to measure business performance. Understanding these metrics helps you identify where profits are gained or lost across revenue, fees, returns, advertising, and operational costs. ### **Overview** Intentwise's Amazon profitability reporting consolidates data from [settlement reports](https://help.intentwise.com/amazon-settlement-report-v1-to-v2-mapping-guide?hsLang=en), product cost data, and advertising performance to provide a complete financial view of your business. ### **Reference Guide — Metrics, Data Sources & Calculation Logic** | **Metric** | **What It Signifies** | **Detailed Explanation** | **Source Table** | **Field** | **Calculation Logic / Parameters** | | --- | --- | --- | --- | --- | --- | | **Total Sales** | The gross revenue generated from customer orders before any deductions. | This is the top-line revenue figure — the sum of all principal amounts collected from customer orders. It represents the full selling price paid by customers and is the starting point for any profitability calculation. | *sellercentral\_settlement\_report\_V2* | *amount* | *transaction\_type = 'Order' AND amount\_description = 'Principal'* | | **Cost of Goods Sold (COGS)** | The direct cost of producing or purchasing the products that were sold. | Calculated by multiplying the unit cost of each product by the quantity purchased in orders. This is a fundamental expense in determining gross profit. A lower COGS relative to sales indicates better margin on the product itself. | *sellercentral\_settlement\_report\_V2refdata\_product\_cost* | *amount, unit\_cost* | *SUM(CASE WHEN transaction\_type = 'Order' AND amount\_description = 'Principal' THEN quantity\_purchased ELSE 0 END) \* unit\_cost* | | **FBA Fulfillment Fee** | Fees charged by Amazon for storing, picking, packing, and shipping orders through their Fulfillment by Amazon (FBA) program. | Includes per-unit fulfillment fees. These fees are a core operating cost for FBA sellers and directly reduce profitability. | *sellercentral\_settlement\_report\_V2* | *amount* | *amount\_description IN ('FBAPerUnitFulfillmentFee')* | | **Commission Fee** | Amazon's referral fee charged as a percentage of each sale. | Amazon charges a commission on every order, which varies by product category (typically 6–15% of the sale price). This is one of the largest cost components for most sellers and is deducted directly from sales revenue. | *sellercentral\_settlement\_report\_V2* | *amount* | *transaction\_type = 'Order' AND amount\_description = 'Commission'* | | **Shipping Fee** | The shipping charge collected from customers on their orders. | This represents amounts billed to customers specifically for shipping their orders. For sellers who charge shipping separately, this is an income line; for those offering free shipping, this may be zero. It is part of the item price paid by the buyer. | *sellercentral\_settlement\_report\_V2* | *amount* | *amount\_description = 'Shipping'* | | **Promotions** | Discounts or promotional credits applied to orders. | Captures the monetary value of promotions run by the seller (e.g., coupons, lightning deals, percentage-off promotions). These reduce the effective revenue received and must be accounted for to understand true net sales. | *sellercentral\_settlement\_report\_V2* | *amount* | *amount\_type = 'Promotion'* | | **Refunded Commission** | In case of returns, refund of the commission which was incurred by the seller. | When a customer returns an item, the commission which was charged by Amazon is returned back to the Seller. This will reflect as a positive amount in the books. | *sellercentral\_settlement\_report\_V2* | *amount* | *transaction\_type='Refund' and amount\_type = 'ItemFees' and amount\_description in ('Commission')* | | **Non-Refund Commission** | The portion of the commission fee that Amazon retains even when a refund is issued. | When a customer returns an item, Amazon refunds part of the commission but keeps a small 'refund administration fee.' This metric isolates that retained commission amount, highlighting the residual selling cost even on returned orders. | *sellercentral\_settlement\_report\_V2* | *amount* | *amount\_description IN ('Refund commission', 'Refund Commission')* | | **Product Cost** | The total cost of inventory sold, calculated at the unit level. | Derived by multiplying the unit cost (from product cost reference data) by the quantity purchased in each order. This is the core input cost for COGS and is critical for understanding product-level profitability. | *sellercentral\_settlement\_report\_V2refdata\_product\_cost* | *quantity\_purchased, unit\_cost* | *transaction\_type = 'Order' AND amount\_description = 'Principal'Joined with unit\_cost from refdata\_product\_cost* | | **Customer Return Fee** | Fees charged by Amazon for processing customer returns through FBA. | When a customer returns an FBA item, Amazon charges a fee to handle the return. This metric captures those FBA customer return fees and is an important cost for sellers with high return rates. | *sellercentral\_settlement\_report\_V2* | *amount* | *amount\_description LIKE '%FBACustomerReturn%'* | | **Gift Wrap** | Revenue or cost associated with gift wrapping services on orders. | Represents the gift wrap charge on customer orders. For sellers enrolled in Amazon's gift wrap program, this can be a small additional revenue line or an offsetting cost depending on how it is structured in the settlement. | *sellercentral\_settlement\_report\_V2* | *amount* | *amount\_description in ('GiftWrap', 'GiftwrapChargeback')* | | **Reimbursement** | Compensation received from Amazon for lost, damaged, or destroyed inventory. | Amazon reimburses sellers when inventory is lost in a warehouse, damaged by Amazon, or goes missing during inbound shipment. This metric aggregates those credits, which partially offset inventory-related losses. | *sellercentral\_settlement\_report\_V2* | *amount* | *amount\_description IN ('REVERSAL\_REIMBURSEMENT', 'WAREHOUSE\_LOST\_MANUAL', 'FREE\_REPLACEMENT\_REFUND\_ITEMS', 'MISSING\_FROM\_INBOUND')* | | **Other Expenses** | Miscellaneous fees and adjustments that do not fall into standard categories. | Covers items such as SAFE-T reimbursement clawbacks, goodwill adjustments, non-subscription fee adjustments, and compensated clawbacks. These are irregular or one-off costs that still impact net profitability and should be monitored periodically. | *sellercentral\_settlement\_report\_V2* | *amount* | *amount\_description IN ('COMPENSATED\_CLAWBACK', 'SAFE-T reimbursement', 'NonSubscriptionFeeAdj', 'Goodwill', 'FBA Inbound Placement Service Fee', 'Adjustment', 'Storage Fee', 'RemovalComplete', 'Amazon Shipping Charges', 'Restocking Fee')* | | **Product Quantity** | The total number of units sold through customer orders. | Counts the quantity of products purchased across all orders. This is a key operational metric that, when combined with revenue and cost data, enables per-unit profitability analysis and trend tracking over time. | *sellercentral\_settlement\_report\_V2* | *quantity\_purchased* | *transaction\_type = 'Order' AND amount\_description = 'Principal'* | | **Return Shipping Fee** | Charges incurred for shipping the product back to Amazon warehouse in case of returns. | Amazon might hire external shipping services to ship the product back to the warehouse. Sellers are charged for such cases. | *sellercentral\_settlement\_report\_V2* | *amount* | *amount\_description in ('ReturnShipping', 'Shipping label purchase', 'Shipping label purchase for return')* | | **Refunded Sales** | Sales from the products which were returned. | In case of Returns, the amount which was earlier reflecting as sales will be deducted. This will be a negative record in the books. | *sellercentral\_settlement\_report\_V2* | *amount* | *transaction\_type='Refund' and amount\_type = 'ItemPrice' and amount\_description='Principal'* | | **Subscription Fee** | Fixed Monthly Fee for Amazon. | Amazon will charge a fixed fee for the use of Amazon platform. This charge is irrespective of the sales. | *sellercentral\_settlement\_report\_V2* | *amount* | *amount\_description='Subscription Fee'* | | **Cost of Goods Returned** | Adding back the cost of goods sold which were returned. | When products are sold, the dollar value of cost of goods sold are deducted. When the products are returned, the value of these goods are added back. | *sellercentral\_settlement\_report\_V2refdata\_product\_cost* | *amount* | *transaction\_type='Refund' and amount\_description='Principal'joined with product cost table* | | **Advertising Spend** | Cost of sponsored ads on Amazon. | | *Advertising reports* | *amount* | | ### **How Profitability Is Calculated** Profitability analysis follows a top-down structure: **![](https://help.intentwise.com/hs-fs/hubfs/image-png-Apr-07-2026-06-36-43-9876-AM.png?width=670&height=462&name=image-png-Apr-07-2026-06-36-43-9876-AM.png)** Regularly reviewing each component helps identify where margin is being lost and which cost categories offer the greatest opportunity for improvement.   - [Getting started](https://help.intentwise.com/getting-started?hsLang=en) - [Intentwise AI Gateway](https://help.intentwise.com/intentwise-ai-gateway?hsLang=en) - [Intentwise Ad Optimizer](https://help.intentwise.com/intentwise-ad-optimizer?hsLang=en#main-content) - [Account and Campaign Setup](https://help.intentwise.com/intentwise-ad-optimizer?hsLang=en#account-and-campaign-setup) - [Optimization](https://help.intentwise.com/intentwise-ad-optimizer?hsLang=en#optimization) - [Reporting](https://help.intentwise.com/intentwise-ad-optimizer?hsLang=en#reporting) - [Dashboard Overview](https://help.intentwise.com/intentwise-ad-optimizer?hsLang=en#dashboard-overview) - [Resources](https://help.intentwise.com/intentwise-ad-optimizer?hsLang=en#resources) - [Amazon DSP](https://help.intentwise.com/intentwise-ad-optimizer?hsLang=en#amazon-dsp) - [Additional Features](https://help.intentwise.com/intentwise-ad-optimizer?hsLang=en#additional-features) - [Walmart](https://help.intentwise.com/intentwise-ad-optimizer?hsLang=en#walmart) - [Criteo](https://help.intentwise.com/intentwise-ad-optimizer?hsLang=en#criteo) - [Instacart](https://help.intentwise.com/intentwise-ad-optimizer?hsLang=en#instacart) - [Intentwise Explore (AMC)](https://help.intentwise.com/intentwise-explore-amc?hsLang=en#main-content) - [AMC](https://help.intentwise.com/intentwise-explore-amc?hsLang=en#amc) - [Instructional Queries](https://help.intentwise.com/intentwise-explore-amc?hsLang=en#instructional-queries) - [Intentwise Analytics Cloud](https://help.intentwise.com/intentwise-analytics-cloud?hsLang=en#main-content) - [Kickstart Guide](https://help.intentwise.com/intentwise-analytics-cloud?hsLang=en#kickstart-guide) - [Configuring Reporting Tools](https://help.intentwise.com/intentwise-analytics-cloud?hsLang=en#configuring-reporting-tools) - [Configuring Data Pipeline](https://help.intentwise.com/intentwise-analytics-cloud?hsLang=en#configuring-data-pipeline) - [Data Sources](https://help.intentwise.com/intentwise-analytics-cloud?hsLang=en#data-sources) - [Looker (Google Data) Studio Tutorials](https://help.intentwise.com/intentwise-analytics-cloud?hsLang=en#looker-google-data-studio-tutorials) - [Intentwise Templates](https://help.intentwise.com/intentwise-analytics-cloud?hsLang=en#intentwise-templates) - [Intentwise Analytics Cloud features](https://help.intentwise.com/intentwise-analytics-cloud?hsLang=en#intentwise-analytics-cloud-features) - [White Label](https://help.intentwise.com/intentwise-analytics-cloud?hsLang=en#white-label) - [Intentwise Marketplace Intelligence](https://help.intentwise.com/intentwise-marketplace-intelligence?hsLang=en#main-content) - [Content Analytics (CA)](https://help.intentwise.com/intentwise-marketplace-intelligence?hsLang=en#content-analytics-ca) - [Share Of Voice (SOV)](https://help.intentwise.com/intentwise-marketplace-intelligence?hsLang=en#share-of-voice-sov) - [Frequently Asked Questions (FAQs)](https://help.intentwise.com/frequently-asked-questions-faqs?hsLang=en#main-content) - [Access and Setup](https://help.intentwise.com/frequently-asked-questions-faqs?hsLang=en#access-and-setup) - [Billing](https://help.intentwise.com/frequently-asked-questions-faqs?hsLang=en#billing) - [Platform](https://help.intentwise.com/frequently-asked-questions-faqs?hsLang=en#platform) - [Reporting](https://help.intentwise.com/frequently-asked-questions-faqs?hsLang=en#reporting) intentwise.com Help Center Copyright © 2026, Intentwise Inc.