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2 levers - price and conversion rate
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Lever 1: Price Increase
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Paid shippingFree shippingPer Unit
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Sessions 100,000 100,000 Sales per unit $ 100.0
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AOV100100COGS $ 40.0
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Conversion rate2.50%2.50%Shipping $ 10.0
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Orders 2,500 2,500 Gross profit $ 50.0
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Sales $ 250,000.0 $ 250,000.0
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Shipping revenue $ 25,000.0 $ -
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Total Sales $ 275,000.0 $ 250,000.0
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COGS $ 100,000.0 $ 100,000.0
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Shipping costs $ 25,000.0 $ 25,000.0
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Gross profit $ 150,000.0 $ 125,000.0
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Margin60%50%
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Additional gross profit required $ 25,000.0
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Additional revenue required (assuming no change in orders)
$ 10.0
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