How to Calculate Sales Margin in Redshift

Making the most of your Redshift data

What is Sales Margin?

Sales Margin is the difference between the revenue you earn from a sale and the cost of making that sale.

For example, if you sell a product for $100 and it costs you $50 to make, your sales margin is 50%.

Sales margin is an important metric because it shows how much profit your company is making on each sale. If your sales margin is high, you're making a lot of money on each sale. If your sales margin is low, you're making very little money on each sale.

Sales margin is also important because it helps you determine your break-even point. If you know how much it costs you to make a sale, and you know what your sales margin is, you can figure out how many sales you need to make in order to break even.

How do you calculate Sales Margin in Redshift?

It can be difficult to calculate Sales Margin directly inside of Redshift; that's where Causal comes in.


What is Causal?


In Causal, you build your models out of variables, which you can then link together in simple plain-English formulae to calculate metrics like Sales Margin. This makes your models easy to understand and quick to build, so you can spend minutes, not days, on your models.

A comparison of formulae in Excel and Causal



Causal lets you add visuals in a single click, letting you plot out graphs and distributions for metrics like Sales Margin.

A gif showing how you can build visuals in Causal

Get started today with Causal

Start building your own Sales Margin models, and connect them to your Redshift data.