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Metric Glossary
Costs of Goods Sold (COGS)
Costs of Goods Sold (COGS)

How the COGS are defined

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

The landed product costs of all items sold.


Formula

n/a

Explanation

This number is the sum of the landed costs of all the products you have sold in a period of time.

The COGS of your products can be configured as a datasource or automatically imported from your Shopify integration. When configuring them make sure that they are Landed Costs - so including the logistics costs needed to deliver them to your warehouse as well as any customs duties that you might need to pay but excl. any VAT that you might have paid.

Notes

We have three different options to configure your COGS:

Automatic Import from Shopify:

We are importing the "cost per item" field from Shopify automatically. Shopify does not track the history of that field, but we are creating it for you. So, if you make changes to that field in the future, your past & future values will be accurately reflected in Klar.

Specific Values in a COGS sheet:

Here you can enter the COGS for each product individually or upload them via a csv.

Percentage across all Products:

Same as above but applied across all products. It's a catch-all mechanism to make sure that you don't have any products that have no COGS associated with them.

More details on how COGS are set up can be found here.

๐Ÿ’ก You don't need to worry about COGS rules overlapping. We will always take the most detailed COGS rule configured.

COGS sheet value per Product > Shopify value > Percentage across all Products

So when you set an actual value in the COGS sheet, we will ignore any Shopify values or Percentage Rules that might also apply to that product.

Used in the following reports

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