B-to-B Cataloging An Introduction to Merchandise Analysis
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Net contribution: Start with your gross sales of the product. Subtract your cost of goods and your promotion cost. This is your net contribution number.
Contribution to overhead: From your net contribution number, subtract your average cost of fulfillment. For most companies, this number runs from 10 percent to 12 percent of gross sales. Use an average in this range if you're not sure of your company's number.
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- People:
- George Hague Editor
- J. Schmid
- Places:
- Mission, Kan. Reach
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