Consumer Goods sales through online channels is a shifting balance between value creation for the consumer and keeping profit targets for the organization. Services on a subscription model have more room for higher acquisition costs, but since a vast majority of consumer goods are a one-time purchase, a close eye has to be kept on the acquisition costs to get bottom level margins for the organization. In order to optimize the P&L model for any consumer goods firm, a comprehensive top down analysis needs to be done from a P&L perspective to ensure that the model itself allows for profitability before you engage into an optimization journey. Therefore, the supply chain partner costs, fulfillment and warehousing costs, freight, digital marketing, salaries etc need to be carefully measured to ensure the model is profitable to begin with.

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As we get into an optimization journey, the following facets of the digital business must be measured and subsequently created into projects to ensure an optimized operations is supporting the product that you are selling...