Product Ranking

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Product Ranking

The Product Ranking Report analyzes the activity of a product across all other products within your products database.  Product rankings are a way to categorize all your products as to their relative effect to sales, profit, costs, and hits based on the breakpoints defined below.

 

Breakpoints

A: 21 to 100% of category ranking or Top 80 percent of value.

B: 6 to 15% of category ranking or the next 15 percent of value.

C: 1 to 5% of category ranking or the last 5 percent of value.

X: 0% of category ranking contributing no value at all.

 

Using these breakpoints, products contributing to the top 80 percent of value get a ranking of A.  The products comprising the next 15 percent are marked as B.  The products that make up the next 5 percent are marked a C.  You cannot go over 100 percent so any product over that amount has no rank and is marked as X.

 

You can use the Product Ranking results in a variety or areas within your business for example:

Pricing:  You can use the rankings to fine tune pricing for products which are under performing.

Purchasing:  The more you sell the more important it is that you never run out of high ranking products.

Cycle Counting:  When performing cycle counts, you can limit the counts to products with certain product ranks.

Warehousing:  Higher selling products have higher rankings which would indicated the product requires a  more convenient and accessible storage location  for more efficient and faster picking and packing.

Product Management & Analysis:  The product rankings provide an opportunity to evaluate low performing products to determine viability and continued stocking and sales.

 

Best Practice:

It is best to run this report for all products at once with no applied filters so you can view the relative performance of each product against the rest of the products within your products database.  

 

You can filter by supplier, category, brand, etc.; however, the results would only display the product performance within the filtered data only and not consider products which do not meet the filter criteria.  For example filtering by supplier would group all products by supplier and would be able to view rankings within each supplier.

 

Click here to view the video for the Amazon Product Ranking report.

 

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