landed cost analysis
WHY IS IT SO CRUCIAL TO KNOW YOUR NUMBERS?
Knowing your numbers for landed cost is crucial for determining the right price to charge customers, calculating profit margins, comparing costs of different suppliers or shipping options, budgeting, negotiating, managing risks, compliance, and making sustainable sourcing decisions. It enables businesses to make informed purchasing decisions and ensure they are making a reasonable profit.
WHAT WE CAN DO TO HELP?
Landed cost analysis is a method of determining the total cost of a product, including all expenses associated with bringing it from the manufacturer to the final destination. It is used to evaluate the true cost of a product and helps businesses make informed purchasing decisions.
Landed cost analysis typically includes the followings:
- Product cost: The cost of the product itself, including any costs associated with raw materials, labor, and manufacturing.
- Freight cost: The cost of shipping the product from the manufacturer to the final destination.
- Insurance: The cost of insuring the product during transport.
- Customs and duties: Any tariffs, taxes, or other charges imposed by the government on the import of the product.
- Handling and logistics: Any costs associated with handling and logistics, such as warehousing, packaging, and loading/unloading.
We are here to assist you with the analysis of the landed cost of your product so that you can make more informed purchasing decisions, compare prices from different suppliers, and negotiate better deals. It also helps to evaluate different shipping and transportation options and to understand the impact of currency fluctuations.
