re-visiting cost of goods sold field( or lack thereof)

Tourist
7 0 33

its been a while since I or anyone elee has post anything on this..

We are a retail shop, we buy clothing wholesale and sell retail. every item we sell has a cost.. We would benefit greatky from a cost of goods sold/product cost field.

In the occasions where we do re-order a product, there is rarely a price difference. If any difference does happen, we average the cost across all the goods sold.

I bring all this up, as it seems like doing our accounting could be a much simpler all in one process if a cost of goods sold was available .. or a place to notate a basic cost was possible.

Does anyone have a trick outside of adding a third party app..... or if 3rd party, something you couldn't live without?

Our need is very basic, and it sees a way to make a quick glance at basic profit( sale price of goods - cost of goods ) would be a huge benefit for shopify users.

 

 

13 Likes
Shopify Staff
Shopify Staff
253 1 20

Hi Kim

This feature is on our feature request list and very highly sought after by our merchants. I do not know if it's being worked on or if/when it may be released.

Keep in mind that for us to add something like this is a lot of work. Not only do we have to add it to the products, we have to add a way to edit it for each variant. Then there will be more reports for the reporting section of the site because people will want to know the profits. It's a lot of work to implement the change, and ti will have to be thoroughly tested.

Also, in the end it's not the best way to figure out if your company is profitable. It wouldn't take in to account any costs, such as office or store lease, electricity bill, heat bill, air conditioning bill, labour costs for staff and more. To be able to really keep track of your profits and expenses, I recommend using a true accounting program and syncing it up with one of the apps in the app store. Many accounting programs do have a cost of goods field for the products you enter into it. Combine that that with the ability to track your other expenses and you'll have a better idea of how profitable you are than if you rely on only sales vs. cost of goods.

0 Likes
Shopify Partner
11 0 6

"Keep in mind that for us to add something like this is a lot of work."

I'm sure it is, that's why we pay you every month.

"Also, in the end it's not the best way to figure out if your company is profitable."

It's about income and expenses; profit flows from that. COGS is subtracted from revenue right off the bat so we can then determine whether we are/are not profitable.

Many of us don't use accounting programs because we 1) don't want to, or 2) are too small to justify one [I do everything in Excel]. Having a Shopify capability to calculate COGS would be a huge help.

4 Likes
Shopify Expert
3994 14 321

Profiteer is a cheap and easy way for you to run your shop and have COGS, and decent reporting. What more could you want?

 

Custom Shopify Apps built just for you! hunkybill@gmail.com http://www.resistorsoftware.com
0 Likes
Tourist
8 0 11

How about just putting a MISC field next to the SKU and Barcode fields?

Just mimic the SKU field and label it MISC.

Allow it to show up in the export order spreadsheet like the SKU field does and then

we can decide how to use it.

Work on reporting later.

Thanks.

 

And Hunky Bill... anybody that searches for COG on the forum sees all your posts... we got it... we would like an in app solution though.  Thanks.

 

6 Likes
Shopify Expert
3994 14 321

I would love it if Shopify added that field. 90% of my App would still be relevant, useful and needed, and the 10% I could chop out would make my App 10x better from my perspective. It would provide me with the freedom to flesh out other much needed aspects of this whole COGS scenario that remain very difficult to build, not having to worry so much about the current value of that field.

Custom Shopify Apps built just for you! hunkybill@gmail.com http://www.resistorsoftware.com
0 Likes
Tourist
6 0 3

Not only would this addition make it easier to see if your gaining or loosing on the product, but there is another reason I would want to have the cost field added and that is so when setting up certain discounts. What if instead of creating a discount that is 10 or 15% below retail price, you wanted to create a discount for certain groups (I.E. Family Discount, Fire Fighter or Military) that are say 30% cost or something to that affect. Not that everyone would want to do that but it would just be another benefit to having that field added to the products page and also just to be able to physically see the difference in cost / retail / msrp on one screen. 

2 Likes
New Member
2 0 6

A Cost of Goods field is VERY necessary!!! We switched from another POS platform to Shopify b/c Shopify seemed very user friendly. UNFORTUNATELY, this VERY IMPORTANT field is not existent! Just one small field. All we need to do is put in the price of the how much we spent wholesale for an item. That's it. And now, it looks like we will need to stick to our old POS. VERY disappointed, Shopify. AND NOT HAPPY! I will not be recommending your product until this field is added.

6 Likes
Shopify Expert
3994 14 321

Profiteer provides for that single field and thus every variant comes with a cost price. It turns out you cannot leave it at that. There are lots of merchants that buy inventory in USD but sell them in another currency. So recording a cost price is not terribly useful for those merchants as they need the cost to track their currency valuations.

With Profteer you can now pin your cost of goods to the USD and set your selling currency by country. The Profiteer will then report your profits and margins using the latest currency exchange rate, automatically. 

Custom Shopify Apps built just for you! hunkybill@gmail.com http://www.resistorsoftware.com
0 Likes
New Member
2 0 6

Well, we have hundreds of inventory. And we are going to import our inventory into Shopify. How user friendly is Profiteer? Will it be very simple for us to add the COGS in Profiteer? All of our inventory is bought USD and sold USD.

0 Likes