Scenario
A seller orders 400 hoodies at $9.50 per unit, planning to sell at $34.99. The supplier quote looks healthy until freight, returns, marketplace fees, and launch discounts are included.
For apparel, margin is not only a landed-cost problem. Size distribution and returns can quietly turn inventory into dead stock.
Cost stack to model
- Goods cost by size and color mix
- Freight impact from carton volume and fabric weight
- Duty and any China-origin tariff scenario
- Marketplace fee, payment fee, fulfillment, and returns reserve
- Launch discount and ad spend needed to move early inventory
Common mistake
The common mistake is modeling one clean average unit. In reality, unpopular sizes, returns, and discounting create a lower realized margin than the first spreadsheet suggests.
Decision rule
If the target margin only works at full price with low returns, test a smaller order, reduce color variants, or improve differentiation before committing to a large apparel run.
Calculate hoodie import margin
This example is for planning only. Verify HTS classification, textile requirements, labeling, duty rates, and platform fees before ordering inventory.