Why do most D2C stores lose money despite growing?
Tracking shows revenue, not profit.
KLAR, Admetrics and the like help with marketing. You only see profit once cost of goods sold, fees and returns are properly in there. Anyone who books only the payout as revenue sees neither real revenue nor real costs.
Cost of goods sold is the most common margin killer.
If the cost of goods sold is wrong, everything looks profitable until the cash suddenly runs out. We value slow movers and seasonal stock honestly at the reporting date, so your inventory is not carried too high in the books.
Your payment mix quietly eats your margin.
Klarna, PayPal, Stripe, fees, chargebacks: without clean allocation, your contribution margin becomes guesswork. That is why we break every payout down to the individual order instead of making one bulk entry.
Warehouse and inventory are rarely plausible.
3PL, restocking, stocktaking differences: if inventory and cost of goods sold do not match, you are deciding blind. We reconcile both monthly with your shop, warehouse system and Sellerboard.
International grows faster than your processes.
New countries, new obligations. If you sell regularly to consumers in the EU, OSS runs every quarter. We build that firmly into your monthly routine, together with our partners taxfish and AVASK.
The month-end close comes too late for real decisions.
If your figures only arrive at some point, you are deciding blind today about tomorrow's budgets.
thanks to partners with over 1,300 employees.
