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contribution margin as we would Define it is net revenue minus all of your variable costs which includes your payment processor fee your pickpack fee your fulfillment your cost of goods minus your ad spend so to get to those actual variable costs can be complicated weamp;#39;ve been talking a lot lately about the importance of contribution margin at the top of our hierarchy of metrics and I wanted to give you all a little glimpse into how we track measure and report on contribution margin on a daily basis because thereamp;#39;s complexity here right contribution margin as we would Define it is net revenue minus all of your variable costs which includes your payment processor fee your pickpack P your fulfillment your cost of goods minus your ad spend so to get to those actual variable costs can be complicated but first we have to think about creating an expectation of this number and for us that begins in what we call our growth map process where we build a Bottoms Up forecast all the
