Doing Amazon's finances has more or less headaches for Amazon's accounting Transaction Report. This report is not only a key source of data for financial staff to calculate Amazon's income and expenses, but also provides data support for bosses to adjust store strategies in profit statements.

Such an important report, do you know how to download, process, and analyze and utilize it?

Amazon Transaction Report

The Amazon Transaction Report is the Amazon Transaction Report (also known as the "Transaction Schedule"). The report shows the specific situation of each order placed by Amazon sellers on the platform, including sales order information, operating income, sales tax, commissions charged by the platform, and FBA order execution fees.

This report can view the operating income of Amazon stores on the whole site. In order to facilitate Amazon's financial accounting of the cost and profit of a single product, the data is basically consistent with the "Amazon Summary Reports".

Through this report, the boss can check whether the store's profit and monthly interest rate are normal, and whether the product pricing is correct. According to the performance of different periods, strictly control the proportion of various costs and expenses, and stop losses in time if they are unreasonable.

How to get the Transaction report?

01 The seller logs in to the Amazon seller backend, and on the [Reprots] (data report) position on the homepage of the backstage, a list appears, find and click [Payments] in the list;

02 Enter the [Payments] page and click [Date Range Reports];

03 Enter the [Date Range Reports] page and click [Generate Report];

04 A pop-up window pops up, select the report type, select [Transaction], then select the report range, select [Custom], then select the corresponding time, and click [Generate];

05Find the corresponding file and click [Download].

How does Finance calculate profit with Transaction report?

Through the Amazon Transaction report, Finance extracts the transaction details of each order, including sales, refund orders, inventory compensation, platform fees, delivery fees, promotion fees, other platform fees, storage fees and more than a dozen other fees.

Generally speaking, the financial staff calculates the profit manually, mainly from two dimensions, namely the store dimension and the SKU dimension.The specific calculation method is as follows

(1) Allocation from the store dimension

Open the report and you can see the seller's income and expenditure details on the Amazon platform. The income includes sales, refund order income, inventory compensation income, etc. Expenses include platform fees, delivery fees, promotion fees, other platform fees, storage fees, etc.

Amazon Platform Profits = Amazon Revenue – Amazon Expenses

After subtracting the overhead and procurement costs, the seller can roughly know the profit of the product.

(2) Allocation from the SKU dimension

If the profit is calculated from the SKU dimension, finance is faced with a number of problems in the dynamic allocation of costs, such as the allocation of procurement costs and head-to-head expenses.

In order to be accurate in the headway cost, it is necessary to correspond to each batch of logistics costs and information each time an FBA shipment is created for outbound delivery to generate a delivery order, so that each order can correspond to the actual delivery cost. (i.e. "first in, first out" principle) allocation.

Purchasing costs need to be based on the purchase order generated during each purchase, get the actual payment, and then calculate the purchase cost of each product. [(Total Product Cost + Shipping) / Purchase Quantity)]

Difficulty in operation

Whether it is from the store dimension or the SKU dimension, financial personnel will face a lot of calculation problems:

There are many data reports, and manual calculation is time-consuming and labor-intensive

When finance calculates the profits of all stores, operations need to log in to the backend of Amazon Seller Center, download reports distributed on different pages and different sites, and then give them to finance. The operation process by role is complicated. Finance then splices, classifies, and integrates numerous reports, which is time-consuming and labor-intensive.

The project accounting logic is different, and the allocation is difficult

Amazon's accounting logic for each project is different, and there are many complicated project costs in multiple data reports, and it is impossible to start with the apportionment. For example, the cost allocation of multiple products in the same store includes advertising fees, storage fees, promotion fees, auxiliary materials fees, self-delivery freight, etc.

Faced with so much data on the Amazon platform, it takes a lot of time for finance to calculate the profit of a single SKU, and it may not be accurate. Rough financial data cannot support the analysis of experience sinking, and it is impossible to analyze dimensions such as ASIN, parent ASIN, and MSKU. Want to achieve refined management of Amazon stores, how to solve it?

Leading Star ERP Solution

Leading Star ERP financial function helps finance to overcome the difficulty of profit accounting, allowing cross-border sellers to focus more on business analysis and profit optimization to improve efficiency.

(1) Analysis of the original table in the background, multi-dimensional view of profit data

Leading Star ERP profit report, the data comes from the Transaction report in the Amazon backend, covering the income and expenditure used by the seller to ensure the integrity of the data.

For cost allocation, sellers can directly view data by dimensions such as MSKU, SKU, ASIN, ASIN, parent ASIN, and store.

At the same time, Leadstar ERP supports sellers to view more than 50 kinds of profit data every day, including over-age inventory surcharges, warehouse closing fees, advertising discrepancies fees and other hidden costs, providing timely and comprehensive data support for adjusting product strategies.

(2) Allocate costs in multiple ways and accurately calculate net profit

In Leadstar ERP, procurement cost and finance can be calculated by mobile weighting, month-end weighting, first-in, first-out and other methods according to the needs of the enterprise. The accounting of Amazon's inventory is more compliant and reasonable, and the pricing process is clearer and more transparent.

In terms of advertising costs, Leader ERP automatically integrates and analyzes the data of advertising reports, and automatically allocates SB and SBV advertising costs. On the profit report, the seller can clearly see the various advertising expenditures corresponding to each ASIN, and support matching to the corresponding Listing person in charge, so that the corresponding personnel can know the cost and effect of advertising in a timely manner.

(3) Customize the permission to open the profit report to ensure data security

In addition to generating profit reports quickly and accurately, the viewing authority of the ERP profit report is also very flexible. It supports opening the corresponding Listing authority to operators and shielding sensitive data.

Under the condition of ensuring data security, operators can check the precise profit of the listing, clarify the source of commission, and find problems in time.

For cross-border sellers, the data displayed in the profit report valued from the Transaction report is extremely important. It can effectively determine whether the product pricing, advertising fees, promotion budget, etc. are reasonable and normal, and make arrangements in advance to maximize benefits!