Cost of Goods Sold (COGS)

Cost of Goods Sold (COGS)

Also referred to as cost per unit or cost of sales, it involves the direct expenses a company incurs in manufacturing or purchasing the products it sells, including material and labor costs.

It excludes indirect costs related to selling and distribution expenses.

Related Terms

Velocity Analysis

A method of analyzing sales data to identify products with high sales velocity. Velocity analysis helps

Purchase Frequency (PF)

Refers to the rate at which customers make purchases within a specific timeframe. It offers businesses

Frequent Buyer Program

A customer loyalty scheme designed to incentivize repeat purchases by offering rewards based on the accumulation