Dropshipping (Smart Home Security) ROAS Simulator

Dropshipping is a low-barrier, high-competition game often characterized by thin margins. Unlike brand owners who control manufacturing, dropshippers are at the mercy of supplier pricing. This means your Breakeven ROAS will likely be higher than a traditional e-commerce brand. You cannot afford to be sloppy with your numbers. This simulator is your reality check—use it to define the precise ROAS you need to survive before you spend a dime on ads.

Many AliExpress or CJ Dropshipping suppliers offer 'free shipping,' but the cost is simply baked into the product price. Others charge a separate, often variable, shipping fee. You must know the true, total cost to get the product to your customer's door. Always input the full product cost *plus* the shipping cost into the simulator to get an accurate picture of your gross margin and required ROAS.

Successful dropshipping often relies on a high-volume strategy. Since profit per unit is low, you need to sell a large quantity to make significant money. This requires finding winning products that can be scaled aggressively on ad platforms. Use the simulator to model how small changes in ROAS at high volumes can have a massive impact on your total net profit. A 0.2 increase in ROAS on $50k/month spend is pure profit.