More ad spend, more discounts, more SKUs, more complexity. Your revenue is up 50% but profit is flat. NetNet helps you spot margin compression before it's too late.
You scale from $5K/mo to $30K/mo in ad spend. More volume, but same POAS — that's margin compression.
You attract smaller orders with discounts to hit growth targets. Each order has lower gross profit.
Influencer codes, seasonal promotions, loyalty programs. By month 12, you're running 15 concurrent discounts that each erode 2-3 points of margin.
More countries, more weight, more fulfillment. You lock in $5 flat shipping but costs are now $6 average.
You're still buying at volume tier 1 when you could negotiate tier 2. Old SKUs drag on margin. No one's measuring margin by product.
Gross profit minus ad spend per order. This is what actually contributes to fixed costs. Below 15%, you're scaling at a loss.
Every $1 spent on ads should return $1.50+ in contribution margin. Below 1.5x on your biggest channels means you're burning cash to scale.
New customer acquisition costs kill margins. If repeat rate is low, scaling means acquiring more customers at higher CAC. At 20%+ RPR, unit economics improve.
NetNet's AI compares this month's margin vs. last month's. A 2-point drop gets flagged so you investigate before it spreads to all channels.
Set your minimum contribution margin. When campaigns dip below it, NetNet alerts you. Pause before scaling further.
See every SKU's contribution margin. Double down on winners (high margin per order), kill losers that scale margin compression.
Meta, Google, TikTok — each channel's actual POAS. Scale only channels where POAS stays >1.5x as you increase spend.
Every product has COGS configured
Gateway fees set per provider (Stripe, PayPal, custom)
Per-country shipping rules optimized
Ad accounts connected (Meta, Google, TikTok)
Margin alerts configured at your thresholds