Do you really know how to calculate Amazon's profits? See where the money goes

Cross-border e-commerce is just a model of transferring stores online, and advertising is marketing. So the Amazon seller is the owner of this store, and is responsible for his own profits and losses . However, nowadays, most stores are operated, and the operator is the store manager of this store. The store's expenses and income are related to the final profit, that is, the commission received!

In fact, you can download data reports from the Amazon backend, and the monthly income and expenditure details of each product are very clear. It is precisely because there are too many details that many sellers and operators do not understand them.

Advertising fees, Amazon service fees, monthly storage fees, long-term storage fees, etc., the fees are not only numerous and complicated, and the amount of data is large, so it is often difficult to allocate them clearly. There are also other miscellaneous fees such as refund fees and evaluation fees. If you want to allocate them accurately, it will not only take time to make decisions in time, but also may cause inaccurate calculation of store profits. Let's disassemble and explain it today!

Download the report

In the Amazon Seller Central backend, "Data Reports" - "Payments" - "Date Range Report" - "Generate Report".

If you want to view all transaction details, (see transaction report) click " Transaction " , select the month you want to download, and generate the report.

If you want to view the data summary for each month, just select the " Summary " report type, select the month, and click Generate Report.

Open the downloaded data report and you will see a lot of details, including income and expenditure reports. Income includes sales, refund order income, inventory compensation income, etc. Expenses include platform fees, delivery fees, promotion fees, other platform fees, warehousing fees, etc. Finally, subtract the head and purchase costs to know the final profit!

It may seem complicated, but it becomes clear when you break it down.

The above is only the income and expenditure data for a single store. However, you should also pay attention to the cost sharing of multiple products in the same store:

Of course, for the company, the cost is far more than just the downloaded data. There are also many expenses such as labor, rent, utilities, equipment and other expenses. Only after all are deducted can the company's real profit be found.

After calculating these details, the most important thing is the last step: the rationality of the strategy . For sellers, monthly profit statistics can effectively determine whether the listing pricing, advertising costs, promotion costs and other budgets are reasonable and normal. For low-profit products, they can adjust the operation strategy or stop losses in time , replenish high-profit products in time, and plan ahead to maximize profits!

The above data calculation is only a rough calculation. Sellers with more business content often choose to use ERP tool plug-ins to assist in accounting in order to achieve more accurate data. Seller friends can choose according to the company's operating conditions.