How we calculate your real profit

The profit formula

For every order, we start from what the customer paid and subtract every real cost, in this exact order:

1. 1. What the customer paid

   The order total, before we take anything out.

2. 2. VAT

   The tax you owe on the sale, for the country the order shipped to. VAT (value-added tax) is the sales tax used across the EU — we work it out per country automatically.

3. 3. Payment fees

   What your card processor, Klarna, or PayPal charged you to take the payment.

4. 4. Shipping cost

   What you actually paid to ship the order, by country and carrier — not what you charged the customer.

5. 5. Product cost

   What the item cost you to buy or make: the price of the product itself, before any of your other business costs. Accountants call it cost of goods sold.

6. 6. Packaging

   Boxes, mailers, tape, inserts — the physical cost of getting the order ready to ship.

7. 7. Everything else

   A small catch-all rate for the odds and ends every order carries that don't fit the categories above.

What's left after all of that is your real profit on that order. Refunds are subtracted the same way, so a partly-refunded order shows its true, lower profit — never the original amount.

How we match ad spend to real orders

We connect an ad to the order it produced using utm_content (the tag your ad platform adds to the link), falling back to fbclid (Meta's own click ID) when utm_content is missing. When we can't match enough orders directly, we estimate using a calibration factor: your platform-reported return on ad spend (ROAS — revenue divided by ad spend), corrected against the small sample of orders we could match directly. Every number carries a badge showing which of these applied — see below.

What Keep, Pause, Scale, Improve and Review mean

Klirry looks at four areas and gives every finding one action, decided by the same rule for everyone — never a guess, never per-customer tuning. Findings are ranked by money: the amount at stake in the window, largest first.

Keep

Nothing to change. The numbers hold up.

Pause

Stop spending or selling here: it is losing money. Shown in red.

Scale

Put more behind it: it earns well above break-even. Shown in green.

Improve

Look at this. Always neutral, never a verdict, and always with a stated reason: landing page, price, shipping price, payment method or other.

Review

A finding that needs your judgement rather than a rule. The queue can show it; no rule raises one yet.

Where Klirry looks

Ads

Each ad set is judged on its return after real costs against your break-even point, using the states below. An ad that only just pays but gets clicks and little store conversion is more likely a landing-page problem, so it gets Improve instead of Pause or Scale. Store visit numbers are directional only and never part of the profit figure.

Products

A product that loses money overall, with at least 20 units sold and its cost on file, gets Improve: raise the price, change supplier or stop selling. A product that earns money overall but loses it in one country is shown separately. A product with no cost on file is left out and listed as such, because an unknown cost is not a zero cost.

Countries

A country where the destination country's VAT, shipping and payment fees push the contribution below zero, with at least 30 orders, gets Improve. The stated reason follows the biggest cost: price (VAT is set by law, only the price can absorb it), shipping price or payment method.

Payment methods

A method's fee is a percentage plus a fixed amount, so it weighs most on small orders. When the fee takes too large a share of the margin on orders of a given size, Klirry names the method and the order-size band (at least 20 orders in the group) and the money paid above the tolerated share. With a single payment method there is nothing cheaper to move to.

Shipping

A shipping decision names each country where shipping costs more than customers are charged, with the money lost in the window, and ranks it with the other areas by money. It needs at least 30 orders in the country; below that it says it is still gathering data. Weight bands are not used yet, because order data carries no parcel weight.

How an ad gets its state

For ads, the states below decide the action. The first two mean there is no verdict yet:

Learning

The ad is less than 14 days old, or its budget changed less than 14 days ago. Ad platforms need time to find their footing after either — too early to judge.

Too early

Past the learning phase, but we still don't have enough orders to trust the number: fewer than 30 matched orders AND spend under 4× your average order value. We'll say how many more days until we do.

Pause

Enough data, and the ad's return is below your break-even point — every day it keeps running is costing you money.

Wait

Enough data, and the ad is right around break-even (within +0.15 ROAS of it) — not losing money, not clearly worth scaling either. Worth a look, not urgent.

Keep, or Scale

Enough data, and the ad is comfortably above break-even. Keep it; this is where you would consider Scale, spending more.

All of this looks at your last 14 days — a short enough window to catch a problem quickly, long enough to not overreact to one bad day.

What the data-quality badges mean

Numbers that depend on matching ad spend to orders carry one of these three badges, so you always know how sure we are:

Verified

Ad spend matched to at least one store order via utm_content or fbclid.

Calibrated

Spend is real; order count estimated via calibration factor (matched ÷ platform-reported ROAS ratio).

Low data

Fewer than 30 matched orders or spend below 4× AOV — sample too small for a reliable estimate.

These are the exact same badges and definitions you see next to those numbers in the app — this page never says anything different from what the product tells you.