Client Type: Amazon Seller (Private Label Brand)
Jurisdiction: United States
Period Covered: 2022–2024
Consultant: Prosperlytics Consultants
Client Background
The client was selling over 150 SKUs on Amazon US but lacked visibility into SKU-level profitability. They used tools like SellerBoard and SellerLegend, which provided basic statistics but failed to deliver actionable insights. Despite good sales numbers, profitability remained unclear.
Engagement with Prosperlytics
The seller engaged Prosperlytics to create detailed SKU Profitability Reports and provide financial insights to optimize their operations.
Our Approach & Solution
We built a robust SKU-level reporting framework, incorporating:
- Amazon income streams (sales, reimbursements, other income).
- All Amazon-related expenses, including FBA fees, referral fees, storage costs, and advertising.
- COGS calculations with landed cost methodology (including freight, duties, and handling).
- KPI analysis such as ACOS, ROI, breakeven points, and contribution margins.
- Benchmarking against industry standards to guide performance improvement.
Unlike off-the-shelf software, our reports adjusted quickly to Amazon policy changes and ensured accuracy.
Result
- Provided the client with true SKU-level operational margins.
- Helped them reduce ad spend on unprofitable SKUs.
- Supported pricing decisions and breakeven analysis for new launches.
- Improved overall ROI and profitability by reallocating resources strategically.
Conclusion:
Prosperlytics’ customized SKU profitability reports provided the actionable insights missing from third-party software. By combining financial accuracy with KPI-driven analysis, the client was able to take confident, data-backed decisions to improve margins and scale sustainably.