Revenue remaining after subtracting the direct costs of goods or services sold, commonly expressed as a percentage of revenue.
Why Gross Margin matters
Understanding this term helps teams align sales, operations, finance, and technology around how business customers evaluate, purchase, and receive products or services.
How It Applies to E-Commerce
Commerce reporting compares net selling prices with product costs to evaluate order and category margins.
How It Applies to ERP Systems
ERP maintains cost of goods sold and financial entries used for authoritative gross-margin reporting.
How It Applies to CRM Systems
CRM may expose expected deal margins to guide discount approvals.