Specialized Add-On · Package 03:Product Portfolio Audit

CUT THE DEAD WEIGHT. SCALE THE WINNERS.

Managing 50+ SKUs is complex. Your best-selling product by revenue is often not your most profitable. This audit gives you complete clarity on your entire catalog so every inventory decision is data-backed.

The Scope

What This Audit Covers

A complete product portfolio blueprint to identify what to grow, optimize, reprice, bundle, or remove.

The Purpose

To evaluate every product across profitability, sales performance, pricing, inventory efficiency, returns, and growth potential, so your product decisions are backed by data.

Problems Solved

Low-margin products, inefficient inventory, dead stock, unnecessary return costs, weak pricing, and missed cross-sell and bundle opportunities.

Decisions Supported

Product growth or discontinuation, pricing adjustments, inventory investment, dead stock clearance, return reduction, and bundle creation.

The Outcome

After This Package, You Will Know

Every product opportunity identified. Every important decision prioritized.

Top Product Drivers

Which products and categories contribute the most value.

True Profitability

Which products are actually profitable after key costs.

Pricing Opportunities

Which products may have room for profitable price adjustments.

Inventory Efficiency

Where you're overstocked, understocked, or tying up unnecessary cash.

Dead Stock

Which products are holding cash and should be cleared, bundled, or discontinued.

Bundle Opportunities

Which products can be combined to increase AOV and create additional revenue.

Cost Savings

Where you can reduce unnecessary product, inventory, return, and operational costs.

Growth Opportunities

Which products and categories deserve more investment for profitable growth.

Catalog Analysis

8 Catalog Analyses

A complete deep-dive into your product portfolio.

1

ABC Product Classification

Objective: Identify Your Most and Least Valuable Products

Data Analyzed: Revenue contribution and sales performance of each SKU.

We classify every product in your catalog into three tiers based on its contribution to your business: A-Tier products that drive the most value, B-Tier products that need optimization, and C-Tier products that contribute the least and may need to be reduced or discontinued.

Example Insight: “Your A-Tier products generate the majority of revenue, while many C-Tier products contribute little but continue to tie up inventory and cash.”
Strategic Recommendation: Protect and grow high-value A-Tier products, optimize B-Tier products, and review C-Tier products for potential reduction or discontinuation.
A-Tier
Top 20%
B-Tier
Mid 30%
C-Tier
Low 50%
2

Product-Level Profit Margin Analysis

Objective: Find Your True Product Profitability

Data Analyzed: COGS, shipping costs, return costs, discounts, and proportional marketing costs per product.

We calculate the true profit margin of each product after accounting for the costs that are often missed when looking at revenue alone. This reveals which products are genuinely profitable and which top sellers may be quietly reducing your overall profit.

Example Insight: “Product A generates strong revenue but has only a 5% true profit margin, while Product B delivers a 45% margin. Your highest-selling products aren't always your most profitable.”
Strategic Recommendation: Reprice, bundle, or reduce marketing spend on low-margin products to protect and improve overall profitability.
Product A Revenue
$42K
Margin: 5%
Product B Revenue
$28K
Margin: 45%
Product B
45%
Product A
5%
3

Category Performance Analysis

Objective: Identify Growing & Declining Categories

Data Analyzed: Category-level revenue, sales growth, and profit margin trends over time.

We identify which product categories are growing, which are declining, and whether their growth is actually translating into healthy profitability.

Example Insight: “Category A is growing by 15% with a 38% profit margin, while Category B has declined by 10% and delivers only a 12% margin. The data shows where to invest, optimize, or reduce your product focus.”
Strategic Recommendation: Expand high-growth, high-margin categories while reviewing declining or low-margin categories for pricing, product mix, or inventory changes.
Category A Growth
+15%
Margin: 38%
Category B Growth
-10%
Margin: 12%
Cat A Margin
38%
Cat B Margin
12%
4

Pricing Analysis

Objective: Identify Pricing Opportunities

Data Analyzed: Current prices, sales volume, conversion rates, and historical pricing performance.

We assess whether your current pricing is leaving profit on the table and identify products where a price adjustment could increase margins without significantly hurting demand.

Example Insight: “Item 1 is converting strongly at $20 but has limited margin. A move to $24 could improve profitability while maintaining healthy demand.”
Strategic Recommendation: Test targeted price increases on high-conversion, low-margin products and monitor conversion and sales volume before wider implementation.
Item 1 Current
$20
Rec: $24
Item 2 Current
$45
Rec: $49
Item 1 Rec
$24
Item 1 Cur
$20
5

Inventory Efficiency Analysis

Objective: Optimize Inventory & Free Up Cash

Data Analyzed: Sales velocity, inventory levels, and days of inventory on hand.

We identify which products are moving quickly and may face stockouts, as well as slow-moving products that are holding too much inventory and tying up valuable cash.

Example Insight: “Product A has 120 days of inventory and is moving slowly, while Product B has only 15 days remaining and may require a faster reorder.”
Strategic Recommendation: Reorder high-velocity products before they run low and reduce or pause purchasing for slow-moving products to free up cash.
Product A Days
120 D
Overstock Risk
Product B Days
15 D
Stockout Risk
Product A
120 D
Product B
15 D
6

Dead Stock Identification

Objective: Free Up Cash Tied Up in Slow-Moving Products

Data Analyzed: Products with little or no sales movement over a defined period, along with their inventory value and holding costs.

We identify products that are no longer selling and calculate how much cash is tied up in them. We then estimate how much value could potentially be recovered through discounts, bundles, promotions, or other liquidation strategies.

Example Insight: “$1.2K is currently tied up in products with little or no movement. We estimate that approximately $800 could be recovered through targeted clearance and bundling strategies.”
Strategic Recommendation: Bundle dead stock with high-performing products, run targeted clearance offers, or discontinue products that are unlikely to recover their costs.
Holding Cost
$1.2K
Tied Up
Recoverable
$800
Est. Recovery
Holding Cost
$1.2K
Recoverable
$800
7

Cross-Sell & Bundle Opportunity Analysis

Objective: Increase Average Order Value

Data Analyzed: Products frequently purchased together and customer purchase patterns.

We identify which products customers most often buy together and uncover the strongest opportunities for cross-selling and product bundles. Based on these patterns, we recommend specific bundles designed to increase average order value.

Example Insight: “Customers who purchase Product A frequently purchase Product B in the same order. Combining them into a bundle could create a strong opportunity to increase AOV.”
Strategic Recommendation: Prioritize the strongest product combinations for bundling and test them with targeted offers to measure their actual impact on AOV.
Bundle A + B
+25%
AOV Uplift
Bundle C + D
+18%
AOV Uplift
Bundle A+B
+25%
Bundle C+D
+18%
8

Product Return & Refund Analysis

Objective: Identify Products Losing Profit Through Returns

Data Analyzed: Product-level return rates, refund amounts, return reasons, and revenue impact.

We identify which products generate unusually high returns and refunds, and measure how much revenue and profit those returns are costing your business. This helps separate products that sell well from products that actually deliver profitable sales.

Example Insight: “Product A has a 14% return rate, significantly higher than the 5% portfolio average. Returns from this product are reducing its actual profitability despite strong sales.”
Strategic Recommendation: Investigate the main causes of high returns and improve product descriptions, quality, sizing, packaging, or customer expectations to reduce avoidable refunds.
Product A Return
14%
Refunds: $2.4K
Product B Return
5%
Refunds: $680
Product A
14%
Product B
5%
Handover

What You'll Receive

01

Product Portfolio Report (8-12 pages)

Full catalog analysis with product-level findings across profitability, pricing, inventory, returns, and growth opportunities.

02

ABC Classification Spreadsheet

Complete product list with tier assignments, profit margin data, sales velocity, and key product metrics.

03

Dead Stock Report

Products to liquidate, with estimated holding costs, recoverable value, and suggested clearance strategies.

04

Top 5 Bundle Recommendations

Specific product pairings with estimated AOV uplift and recommended bundling opportunities.

05

Inventory Investment Priority List

Where to reorder immediately, where to reduce inventory, and where to pause purchasing.

06

Pricing Adjustment Recommendations

Specific products where data supports a potential price adjustment to improve profitability.

07

Product Return & Refund Findings

Products with unusually high return rates, refund costs, and recommendations to reduce avoidable losses.

08

45-Minute Strategy Call + 2 Weeks Email Support

Review the full portfolio findings and align on which actions to take first; questions answered as you implement the recommendations.
Scale & Automate

Optional Automated Product Intelligence

Turn your product portfolio analysis into an ongoing monitoring system. Instead of reviewing your catalog manually, get a centralized dashboard that continuously tracks product performance, profitability, inventory, returns, and growth opportunities.

Automated Product Portfolio Dashboard

  • Product revenue & profit monitoring
  • ABC classification tracking
  • Inventory and low-stock monitoring
  • Dead stock identification
  • Return & refund tracking
  • Pricing performance monitoring
  • Category performance trends
  • Bundle & cross-sell opportunities
  • Available as an optional upgrade

The Benefit

Keep your product portfolio under continuous visibility and quickly spot products that need attention, without repeatedly rebuilding the analysis manually.

Product Portfolio Dashboard
Auto-refresh: ON
Total Revenue
$184K
+12%
Total Profit
$68K
+8%
Avg Margin
37%
+2%
Dead Stock Value
$1.2K
+$200
ABC Classification Tracking
A-Tier
20%
B-Tier
30%
C-Tier
50%
Category Growth Trends
Cat A
+15%
Cat B
-10%
Product Performance & Inventory Matrix
Product Revenue Margin Days Inv. Status
Vitamin C Serum $42K 5% 120 D Reprice
SPF 50 Sunscreen $28K 45% 15 D Reorder
Retinol Cream $15K 38% 45 D Maintain
FAQ

Frequently Asked Questions

Everything you need to know.

Who is this audit for?
Stores with large product catalogs (50+ SKUs), high inventory investment, or plans to expand/rationalize their product line.
What data access is required?
We need read-only access to Shopify admin (products, orders, inventory) and your COGS (Cost of Goods Sold) data to calculate true margins.
How long does the audit take?
The audit is completed within 7,14 business days, depending on catalog size.
Will implementation be included?
Implementation is not included, but we provide a 45-minute strategy call and 2 weeks of email support to guide your catalog restructuring.
Is the automated dashboard included in the package?
No. The automated dashboard is not included in the standard Product Portfolio Audit package. It is an optional upgrade and must be purchased separately.
Product Portfolio Audit

Catalog Blueprint

$350–$800

One-time investment · Delivered in 7–14 days

  • 8 Catalog Analyses
  • ABC Classification Sheet
  • Dead Stock Report
  • 5 Bundle Recs
  • 45-min Strategy Call
  • 2 Weeks Email Support
Book Audit