Understand Your COGS
Cost of Goods Sold (COGS) represent the direct costs required to produce or fulfill the products you sell. Accurate COGS are the foundation of meaningful profit tracking in ProfitTree.
COGS typically include:
Materials or components
Production or fulfillment costs
Packaging materials
POD base product and shipping costs
Why COGS Matter
Tracking COGS allows you to:
Understand true product profitability
Set pricing with confidence
Identify high-margin and low-margin products
Accurately calculate profit and ROI
Make informed decisions about ads, pricing, and inventory
Without COGS, ProfitTree cannot calculate profit accurately.
Simple COGS Example
If you sell a candle for $30 and your costs are:
Wax, wick, fragrance, container: $8
Packaging: $2
Your COGS for that candle is $10.
ProfitTree uses this value to calculate profit across orders, products, and listings.
How to Add COGS in ProfitTree
ProfitTree offers three supported methods for adding COGS.
Option 1: Automatic COGS with Printify or Printful
If you sell print-on-demand products through Printify or Printful:
Go to Integrations in your ProfitTree dashboard
Connect your Printify or Printful account
Ensure you are using the SKUs provided by your POD platform in Etsy
ProfitTree will automatically import:
Product costs
Shipping costs
Note:
When using Printify or Printful, manual COGS entries are overridden by the integration.
Option 2: Manually Add COGS (With or Without SKUs)
If you sell handmade products or use a non-integrated fulfillment provider:
Go to COGS Management
Select a product
Click the edit (pencil) icon
Enter your COGS and save
This method works whether or not you use SKUs.
Important:
If you use a POD provider that is not integrated with ProfitTree, include average or worst-case shipping costs in your COGS.
Option 3: Bulk Upload COGS (Requires SKUs)
If you have many products and use SKUs:
Go to COGS Management
Choose Bulk Upload COGS
Download and complete the template
Upload the file
This is the fastest way to manage COGS for large catalogs.
Keeping COGS Accurate Over Time
Update COGS when product costs change
Use COGS History to maintain accuracy for past orders
Ensure SKUs remain consistent to avoid COGS conflicts
Summary
COGS are essential for understanding profitability in ProfitTree. Whether you use integrations, manual entry, or bulk uploads, keeping COGS accurate ensures your dashboard, reports, and order insights reflect the true performance of your Etsy shop.