A 25% sitewide discount does not cut margin by 25%. Full US apparel math: $27.80 to $9.52 per order, and why a $105,000 sale week ended at minus $7,260 after returns.
Tag: ecommerce returns
Why Your Store Has Great ROAS But Still Loses Money
By Ashish Rai, CEO, Purple Circle · Updated August 2026 · 11 min read Short answer: ROAS measures revenue against ad spend. It knows nothing about your product cost, shipping, payment fees, discounts, or returns. A store can report a 3.6 ROAS on Meta, run a 53% contribution margin, and still lose money every month… Continue reading Why Your Store Has Great ROAS But Still Loses Money
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