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Metric Glossary
Contribution Margin 1 (CM1)
Contribution Margin 1 (CM1)

How the CM1 is defined and calculated

Valentine Strunz-Happe avatar
Written by Valentine Strunz-Happe
Updated over a week ago

CM1 = Net Revenue - COGS


Formula

Contribution Margin 1 = Net Revenue - Costs of Goods Solds

Explanation

This is the money you have made after the COGS are deducted from your Net Revenue.

This is an important KPI because it shows you the amount you have left to cover any additional expenses that are not directly related to the product like Logistics and Marketing.

Notes

The COGS will be taken from your custom cost configuration in the datasource section of Klar.

Used in the following report:

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