Customer and service profitability
Your accounts tell you whether the company makes money, not which customer generates it. Rates were set years ago and the operation has changed: more small orders, more rush jobs, more returns. Without a real cost per customer, every renewal is negotiated blind.
Key question
Which customers and services make us money, and which ones lose it?
What we analyze
- Real operating cost per customer: warehouse hours, miles, waiting time, incidents and returns.
- Revenue per customer and service versus that cost.
- How each customer's order profile has changed.
- Allocation of overheads using criteria your team understands and accepts.
Decisions it supports
- Revise rates with solid arguments at the next renewal.
- Change service terms for unprofitable customers.
- Decide where to grow and which services to stop offering.
- Quote new customers using real costs.
Common findings
These are patterns we see often, not guaranteed results. What we find in your operation may be different.
A small share of customers generates almost all the margin.
High-volume customers can have negative margins because of their order profile.
Rates don't reflect extra services that are provided free of charge.
Typical data
ERP and cost accounting, WMS, TMS and billing.
KPIs
- Margin per customer
- Cost per order and per shipment
- Cost of incidents
- Revenue per service
Related service
Operations assessment. A focused analysis of your operation to find where efficiency is lost and what fixing it could be worth.
See the serviceOther use cases
Routes and last mile
Why do deliveries keep failing in the same areas and time windows?
Read the use caseWarehouse productivity
How many people do we really need each day and on each shift?
Read the use caseFleet and trucking
How many miles do we drive empty, and how much time do trucks lose waiting?
Read the use caseKPIs and reporting
Why does every department bring different numbers to the meeting?
Read the use caseLet's talk about your operation for 15 minutes
No sales pitch and no preparation. You tell us how you work, and we tell you honestly whether we can help.
