Profit Analytics Software

Ecommerce profit analytics shows what an online store earns after its costs, not just what it sells. It combines revenue with product costs, advertising, payment fees, shipping and operating expenses, and tracks how profit develops over time. Northmast does this for Shopify stores, with revenue, contribution margin and operating profit for any period.

Start with revenue excluding tax, after discounts and refunds, then subtract your costs in layers. Product costs, payment fees, shipping costs and advertising give you the contribution margin; subtracting operating expenses such as software, staff and rent gives you operating profit. Northmast calculates both automatically from your Shopify orders, your cost prices, your ad accounts and the operating costs you enter.

Revenue is the money your sales bring in; profit is what's left after the costs of making those sales and running the business. A store can grow its revenue while profit stays flat or falls, for example when advertising or product costs rise faster than sales. That's why revenue on its own says little about the health of an ecommerce business.

Contribution margin is what each sale contributes after its variable costs: product costs, payment fees, shipping and advertising. It shows whether your sales, at their current price and cost level, earn enough to pay for the rest of the business. In Northmast, contribution margin is shown in money and as a percentage of revenue, for any period and for every day.

Contribution margin covers the costs that move with your sales; operating profit also deducts the fixed costs of running the business, such as software, staff and rent. Operating profit isn't net profit, because interest and taxes on profit aren't included. Seeing both shows whether a weak month comes from your sales or from your overheads.

Advertising is often the largest variable cost after products, so it can turn profitable revenue into a loss. Extra sales from more ad spend only add profit if the margin on those sales is larger than what you paid to win them. Northmast deducts your daily Meta and Google Ads spend before the contribution margin and shows MER, store revenue divided by ad spend, next to it.

Usually because costs are growing faster than sales: more ad spend per order, higher product or shipping costs, more discounts or refunds, or overheads that grew with the team. The only way to know which is to see revenue and every cost layer for the same period, compared with the period before. Northmast puts those side by side, so you can see which cost moved.

Yes. Northmast is a Shopify app that combines your orders, refunds and cost prices with ad spend from Meta and Google Ads and the operating costs you enter. It shows revenue, contribution margin and operating profit in your reporting currency, next to your stock value, reorder recommendations and purchase orders.