If marketplace revenue is high but profit looks low, the reason is usually untracked deductions. Several line items sit between the sale price and the money that reaches your account.
01. Deduction Items
Commission, shipping charge, service fee, campaign participation share, return shipping and late-delivery deductions. Each is a separate line in the settlement report; posted to the ERP as one total, product-level profitability cannot be measured.
02. Settlement Reconciliation
The marketplace settlement report should be compared regularly with your own sales records. Differences usually stem from return timing and campaign deductions.
03. The Returns Process
A return must be reflected on both the stock and accounting sides. If goods are put back into stock without distinguishing sellable from damaged, unsellable items keep showing as available.
04. The Invoicing Side
Marketplace orders are invoiced to the buyer and fall under e-Archive. The invoice number should be written back to the marketplace; otherwise buyer requests become a support burden.
05. Real Profitability
Product-level profit should be calculated by deducting commission, shipping, return rate and product cost from the sale price. Building this calculation in Power BI by channel and product makes visible which product is actually losing money.
06. Tracking Return Rates
Return rate by category should be an input to pricing decisions. In a high-return category you pay commission and shipping twice.