Feature · Margin & contribution margin
Not every product makes money. But each one ties to which.
Peak Products calculates contribution margins, compares variants and scenarios and shows inventory health, with or without a shop connection.
Free, no shop connection.
The math
Revenue is not profit.
- Contribution margin
- What a product contributes to fixed costs after all variable costs.
- Formula
- Contribution margin = net selling price − variable costs
- Example
- A product at €50 net with €20 purchasing, €6 shipping, €2 fees and €9 ad costs per sale contributes €13, which is 26%.
- Common mistakes
- Leaving out ad costs per sale
- Ignoring the return rate
- Only compare the percentage, not the amount
What's inside
Calculate, compare, decide.
- Available
Costing
Purchasing, shipping, fees, marketing: contribution margin per product in euros and percent.
- Available
Scenarios
Play through prices and costs side by side before you change them.
- Available
Smart Views
Winners and problem children at a glance.
- Available
Inventory health
Which products tie up cash in inventory.
- Available
Shopify & WooCommerce
Products and inventory come in as the same products, not as a copy.
Why not ROAS
A good ROAS can burn money.
ROAS divides revenue by ad costs. It says nothing about what's left after purchasing, shipping, fees and returns. At a low margin, a campaign with a good ROAS can lose money.
Contribution margin after ad costs shows whether a campaign really pays off. Peak Products calculates it per product and variant, even without a shop connection.
Frequently asked questions
Briefly answered.
Do I need a shop to calculate?
No. Costing works for free and without a shop connection. With Shopify or WooCommerce, products and inventory come in automatically.
Can I calculate variants individually?
Yes. Peak Products calculates per product and variant and compares scenarios side by side.
Where do I see how much cash is tied up in inventory?
In the inventory health of Peak Products and in the cash picture of Peak Cashflow.
Keep exploring
What's included.
- FunctionCash flow & runwayA clear cash picture from rough numbers, with runway and cost blocks.View
- IntegrationShopifyProducts, variants, orders, customers, inventory, and revenue.View
- FunctionReportingCash, profit and margin from connected sources, every number with its source.View
- Software categoryAll-in-one business softwareOne shared model for tasks, customers, products, and numbers.View
- Software categoryCash flow softwareSee what comes in, what goes out and how long it lasts.View
- Software categoryContribution margin softwareKnow what's left per product after all variable costs.View
✦ A Peak principle
Growth starts with what exists. Not at the next channel.
Exhaust first, then expand
More features
What Peak One can do today, sorted by task. Each feature says whether it is available, in preview or planned.
Start with Margin & Contribution margin. The rest follows.
Contribution margin per product and variant, with scenarios and inventory. Log in with Google and see your company in one place.
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