There is a question I want every ecommerce owner to be able to answer about their business: Which of my products is actually making me money?

Not which one is selling the most. Not which one looks best on the dashboard. Which one, after I subtract everything it costs to get a unit in front of a customer and shipped out the door, is actually putting money in my pocket?

Most ecommerce owners cannot answer that question with confidence. And that gap between what looks profitable and what is profitable is where businesses quietly fall apart.

Real profit is what remains after you subtract COGS, platform fees, ad spend, returns, and fulfillment costs. Dashboard revenue is not profit. A busy store is not a profitable store.

Start by pulling your true unit economics: what does one unit cost to make, store, advertise, sell, and ship? That number, compared to your selling price, tells you whether a product is a profit engine or a loss leader dressed up as a bestseller.

The businesses that scale successfully are the ones who know the difference — and make decisions based on real numbers, not hopeful ones.

About the author 

Cyndi Thomason

Cyndi is a mom and author of Profit First for Ecommerce Sellers and Motherhood, Apple Pie, and all that Happy Horseshit. She is also a speaker and thought leader in areas of ecommerce accounting and Mom Entrepreneurship. Cyndi is the founder of bookskeep which provides accounting and Profit First advisory services to hundreds of ecommerce businesses around the world. When not helping business owners or her team, Cyndi can be found in her garden.

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