Logistics Costs

How the Logistics Costs are defined and calculated

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

Costs for Shipping, Picking, Returns etc. of sold items.


Formula

Logistics Costs = Fixed Costs + (Number of Order * (General Costs + Outbound Shipping + Packaging + Other) + (Number of New Customer Orders * New Customer Costs) + (Number of Returned Orders * Return Costs)) + (Number of Items *(Picking Costs + Storage Costs + Other Costs) + (Returned Items * Return Costs)) + Sum of Variable Costs per SKU

Explanation

The Logistics Costs contain all costs associated with getting the product delivered to your customers.

Your logistics costs structure can be configured as a Cost Datasource. Not only that, you can also adjust them over time. You can define different time periods and set different costs in each of them so that you can work margin improvements into your reports.

There are quite a few different components to calculate your Logistics costs. A detailed breakdown can be found here: Configuring Logistics Costs

Used in the following reports

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