June 14, 2017

Gross Margin Comps

A business can handle negative top-line comps if gross margin dollars are increasing. Here's the comp segment table for our business.


Gross margin comps look better than top-line sales/demand comps look ... but the last five months demonstrate a 4% - 5% drop in gross margin comps. This business is struggling due to merchandising strategy changes (and marketing problems with new + reactivated buyers - problems independent of merchandising strategy changes).

You are running these simple diagnostics on your business, right?


No comments:

Post a Comment

Note: Only a member of this blog may post a comment.

Best Marketers

Alright peeps, send me an email and tell me which vertical does the best job of marketing, causing you to spend more than you'd normally...