Question 1

What is landed cost and why does it matter for consumer product brands?

Accepted Answer

Landed cost is the total cost of getting a product from the manufacturer to your warehouse — including the purchase price, freight (sea or air), customs duties, import taxes, insurance, warehousing and any currency conversion costs. Many consumer product brands price on purchase price alone and are shocked when their actual gross margin is half of what they expected. Marginfy builds landed cost models that capture every cost component so you can price accurately from day one.

Question 2

How do you analyse channel profitability for a consumer product business?

Accepted Answer

Channel profitability analysis compares the net margin delivered by each sales channel after accounting for all channel-specific costs: wholesale discounts, retailer co-op fees, marketplace commissions, fulfilment costs, returns and marketing. A product might generate a 60% gross margin DTC and only 20% through wholesale — but wholesale might deliver higher volume with lower acquisition costs. Marginfy helps brands understand these trade-offs and make informed decisions about channel mix.

Question 3

What wholesale margin should I offer retailers?

Accepted Answer

Typical wholesale margins for consumer products range from 40–60% for specialty retail and 50–60% for mass market retail (meaning retailers mark up your wholesale price by 40–60%). This means you need to build your pricing from landed cost up, ensuring that at the wholesale price point you still achieve your minimum acceptable margin. Marginfy builds wholesale pricing architectures that protect brand integrity and profitability at every level of the trade.

Question 4

How can a Fractional CFO help a consumer products business?

Accepted Answer

A Fractional CFO for consumer products brings financial rigour to landed cost management, pricing strategy, channel analysis and inventory planning. This includes building gross margin models by SKU and channel, cash flow forecasting (critical for inventory-heavy businesses), working capital management and financial reporting that gives founders visibility over what's actually driving profit.

Fractional CFO for Consumer Product Brands

How We Help Consumer Product Brands

Landed Cost Analysis

Channel Profitability

Wholesale Pricing & Margin Optimisation

eCommerce & Retail Finance

What You Can Expect

FAQ — Consumer Products Finance

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