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Revenues         Gross Contribution                 Profit/Loss                                                  Sales Costs             Marketing Costs
                                                                                            $250,000

Product 5
                                                                                            $200,000

Product 4
                                                                                            $150,000
Product 3
                                                                                            $100,000
Product 2
                                                                                             $50,000
Product 1
                                                                                                  $0
    -$100,000               $1,900,000                  $3,900,000             $5,900,000                       Product 1          Product 2         Product 3         Product 4         Product 5



                                         Gross Margin                                                                                           Unit Sales
  80.0%
                                                                                            Product 5       12
  60.0%
                60.9%                                                                       Product 4       6
  40.0%                                      50.8%
                            35.4%                                                           Product 3                97
  20.0%
                                                                              16.9%
   0.0%
                                                                                            Product 2                             213
            Product 1       Product 2       Product 3          Product 4      Product 5
 -20.0%                                                        -23.7%                       Product 1                                                                                      890

                                                                                                        0                   200                400               600               800           1000
 -40.0%
Product Profitability Analysis Tool
                                                                                                  Gross          Marketing
Products          Price        Unit Cost      Unit Sales      Revenues           COGS*                                           Sales Costs**      Profit/Loss   Gross Margin
                                                                                               Contribution       Costs
Product 1         $1,000           $240            890         $890,000         $213,600          $676,400          $45,600           $89,000         $541,800       60.9%

Product 2         $5,000         $2,400            213        $1,065,000        $511,200          $553,800          $69,900         $106,500          $377,400       35.4%

Product 3        $25,000        $10,000              97       $2,425,000        $970,000        $1,455,000          $29,750         $194,000        $1,231,250       50.8%

Product 4        $50,000        $34,000               6        $300,000         $204,000           $96,000         $143,000           $24,000         -$71,000       -23.7%

Product 5       $250,000       $190,000              12       $3,000,000       $2,280,000         $720,000         $123,450           $90,000         $506,550       16.9%




* COGS - Cost of Goods Sold before Sales & Marketing costs.

** Sales Costs - formulas need to be updated to reflect your sales commission percentages. Currently, there is a default 10% sales commission in the formula.

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Product Profitability Analysis Tool

  • 1. Revenues Gross Contribution Profit/Loss Sales Costs Marketing Costs $250,000 Product 5 $200,000 Product 4 $150,000 Product 3 $100,000 Product 2 $50,000 Product 1 $0 -$100,000 $1,900,000 $3,900,000 $5,900,000 Product 1 Product 2 Product 3 Product 4 Product 5 Gross Margin Unit Sales 80.0% Product 5 12 60.0% 60.9% Product 4 6 40.0% 50.8% 35.4% Product 3 97 20.0% 16.9% 0.0% Product 2 213 Product 1 Product 2 Product 3 Product 4 Product 5 -20.0% -23.7% Product 1 890 0 200 400 600 800 1000 -40.0%
  • 2. Product Profitability Analysis Tool Gross Marketing Products Price Unit Cost Unit Sales Revenues COGS* Sales Costs** Profit/Loss Gross Margin Contribution Costs Product 1 $1,000 $240 890 $890,000 $213,600 $676,400 $45,600 $89,000 $541,800 60.9% Product 2 $5,000 $2,400 213 $1,065,000 $511,200 $553,800 $69,900 $106,500 $377,400 35.4% Product 3 $25,000 $10,000 97 $2,425,000 $970,000 $1,455,000 $29,750 $194,000 $1,231,250 50.8% Product 4 $50,000 $34,000 6 $300,000 $204,000 $96,000 $143,000 $24,000 -$71,000 -23.7% Product 5 $250,000 $190,000 12 $3,000,000 $2,280,000 $720,000 $123,450 $90,000 $506,550 16.9% * COGS - Cost of Goods Sold before Sales & Marketing costs. ** Sales Costs - formulas need to be updated to reflect your sales commission percentages. Currently, there is a default 10% sales commission in the formula.