Glossary
Every word we use, in one line.
The four verdicts
- TEST IT
- Worth a small test batch now: demand and the money left after costs are measured, not guessed.
- WATCH
- Not yet: one condition is missing or time will tell — we keep watching and tell you when it changes.
- AVOID
- Do not buy: a hard stop, or the money does not work after all costs.
- NOT ENOUGH DATA
- A decision too: a key number is not measured yet, so we do not guess.
Terms
- MOQ
- The supplier sells from, say, 300 pieces up. That smallest order is the MOQ.
- ROI
- Put in $100, get back $335: each $1 returns $3.35. That is ROI.
- Margin
- Sell for $20 and keep $5: that $5 out of $20 is your margin.
- Landed cost
- Supplier $3 + shipping + duty + packing = what one unit costs you on the shelf.
- Net per sale
- What stays in your pocket from one sale after every cost.
- Price
- What the buyer pays on the marketplace today.
- Price floor
- Below this price a sale earns you nothing.
- Ad cost per sale
- If ads cost you $8 to make one sale, $8 is your ad cost per sale.
- Payback
- How long until the money you put in is back in your account.
- Capital
- The money you need for the first batch, shipping and launch.
- Bad month
- Price down, costs up, ads dearer — all at once. What is left then.
- Returns
- Out of 100 buyers, how many send it back.
- Duty
- The tax the country takes when goods come in.
- VAT
- A share of the price that goes to the state, not to you.
- Fulfilment
- The marketplace stores, packs and ships your unit — for a fee.
- Commission
- The marketplace keeps part of each sale, e.g. $3 from $20.
- Sample
- One unit you buy first to check the quality.
- Quote
- The supplier's written price, quantity and terms.
- Factory or trader
- A factory makes it. A trader buys from a factory and resells.
- Seasonal
- Sells mostly in some months, e.g. before winter.
- Competitors
- Other sellers of the same product in this market.
- Lead time
- Days from your order until the goods are made.
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