Sellers all know that profit contains many influencing variables, such as storage and performance costs, transportation costs, commodity sales costs (sold commodity costs), operating expenses, advertising expenses, return related costs and so on.
Net profit rate, also known as net profit rate, represents net income or profit as a percentage of income. So for Amazon, it is the ratio of net profit to revenue, which is the percentage of profit generated by revenue after the seller considers all expenses, costs and cash flow.
The calculation formula of net profit rate is: (total revenue-cost of goods sold)/total revenue.
The net profit rate is used to calculate how much of the company's income per dollar falls into the actual profit. It can also be used to evaluate whether a company has made enough profits from sales and whether its operating and management costs have been maintained.
Total income = actual loan amount of the platform.
Commodity sales cost = platform operation related cost+daily operation cost of the company.
Related costs of platform operation = product cost (or total procurement cost)+logistics cost (head round-trip cost or self-delivery freight and domestic logistics cost)+other related actual costs (platform promotion cost, coupon, CPC fee, platform commission, FBA distribution fee, warehousing fee, return cost, etc.). It has been deducted from the actual platform loan amount, and there is no need for double accounting).
Company's daily operating costs = rent, property, water and electricity, etc. +Labor cost+all other actual costs.
In the accounting process, we need to pay attention to some costs related to platform operation (such as platform promotion fee, coupon, CPC fee, platform commission, FBA distribution fee, storage fee, return fee, etc.). In fact, it has been deducted from the total income, which is the amount of platform loans. Therefore, in the process of profit accounting, only the uncounted part needs to be deducted, and the calculated profit and the previous sales pricing formula need to be accounted and compared separately. In the early stage, we must calculate the profit according to the actual situation and price the product according to the actual situation of the profit. There are many regulations on Amazon's related expenses, and the background must be verified in detail. If you don't pay attention, the seller's friend did it for a while and found that the sales volume was there, but there was no money at all. There are many such examples, remember! (Because there are too many cost details involved, I won't mark them one by one here, just do some simple classification. If a friend doesn't understand accounting, please contact our company for detailed communication and free consultation! )