📦 COGS by Volume
What is this option
This option allows you to create product costs based on the number of units in the order for each product. This option is useful if your supplier has quantity discounts. The COGS by Volume is setup based on the quantity ordered by one customer. It is calculated on a per variant basis.
Below is an example scenario for product Y ordered by a customer:
- 1 x product Y is ordered. The cost of goods is $10 each. The total cost is $10.
- 2 x product Y are ordered. The cost of goods is $8.2 each. The total cost is $16.4
- 3 x product Y are ordered. The cost of goods is $6.5 each. The total cost is $19.5
How to set it up
COGS Volbume Breaks can be setup on this page here.
1) COGS Volume Breaks can be created by using the product name or by product variant options. When creating it by product name, it will create a volume break for each of the variants. This is a process to speed things up.
Then the corresponding quantity and cost should be entered. To create the COGS Volume Break, hit the "Submit" button.
2) Once created, the COGS Volume Breaks can be viewed and edited below the creation section.