Ecom Unit Economics
Computes LTV, CAC, ROAS, contribution margin, and unit economics for e-commerce businesses using API inputs, bypassing spreadsheets. E-commerce analysts and managers input sales, customer acquisition costs, and revenue data to obtain precise metrics. Applies to profitability analysis, ad performance evaluation, and pricing optimization.
Overview
The Ecom Unit Economics MCP server performs calculations for core e-commerce financial metrics, including Lifetime Value (LTV), Customer Acquisition Cost (CAC), Return on Ad Spend (ROAS), contribution margin, and overall unit economics. Users submit structured data via API to receive results directly, enabling data-driven decisions without manual spreadsheet work.
Key Capabilities
- LTV: Calculates customer lifetime value based on average order value, purchase frequency, and retention period.
- CAC: Determines total customer acquisition cost by dividing marketing spend by new customers acquired.
- ROAS: Measures return on ad spend as revenue generated per dollar spent on advertising.
- Contribution Margin: Computes revenue minus variable costs per unit to assess per-sale profitability.
- Unit Economics: Aggregates the above into a full unit economics summary, highlighting profitability per customer or order.
Use Cases
- An e-commerce marketer inputs ad spend, new customer count, and revenue data to calculate CAC and ROAS, deciding whether to scale campaigns.
- A product manager submits order values, costs, and churn rates to derive LTV and contribution margin for pricing adjustments.
- An executive analyzes cohort data for full unit economics to evaluate business model viability before expansion.
- A finance analyst batches multiple product lines' data to compare ROAS and margins across categories.
Who This Is For
E-commerce operators, financial analysts, marketing teams, and growth managers who need quick, accurate unit economics without spreadsheet dependencies. Suited for DTC brands, online retailers, and SaaS tools integrating e-com analytics.