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​​PROFITABILITY WORKFLOW

​​FB Attribution does not take into account your FC’s and other costs. 

​​here we must look at this as a Per. Unit basis 

​​ 

​​AOV  = j

​​

​​8x250 = 2g’s 

​​

​​40x100

​​

​​sell 50 to get money back

​​ 

​​COGS: $8

​​Product (landed cost) = 

​​+

• ​​Shipping = $10

​​+

​​Payment fees = $5

​​+

​​Variables = $5

​​+ 

​​Shopify fee (2%) = $2

​​+ 

​​$

​​

​​

​​Gross profit = $ (if charge shipping) = 20 

​​

​​40%

​​

​​

​​

​​B.E ROAS 

​​= aov / Gross Profit 

​​= 2.0

​​

​​$ Margin 

​​= AOV - COGS 

​​= 10

​​

​​have __ dollars to play with to acquire a sale 

​​Or 

​​% Margin (20-30% is great in ecommerce) 

​​= Gross profit / Revenue 

​​= 

​​ 

​​CPA: Cost per purchase on FB

​​15-30 at standard  for CC (20 on Avg) 

​​= 

​​