Client Profitability
Know which clients make you money, and which ones just keep you busy.
Momentum measures profitability per 3PL client by stacking revenue from every billing category against layered costs — settled carrier cost, packaging materials and loaded labor — so margin comes from real activity rather than averages.
By client · cost layers
| Client | |
|---|---|
| Harborview Home Goods | 36.2% |
| Northfield Supplements | 33.8% |
| Kestrel Outdoor | 22.1% |
| Dune AthleticsReview rates | 14.6% |
The problem
Why is 3PL client profitability so hard to measure?
Revenue is easy to see on an invoice. Cost is spread across carrier bills, supplies, labor hours and square footage that serve every client at once. Most 3PLs price a client once, at onboarding, and never check whether the account still earns what the quote assumed.
- Quotes built on assumptions nobody revisits
- Shipping margin unknown until carrier bills settle
- Labor and packaging cost spread evenly instead of by client
- Renewals negotiated without evidence
How it works
How does Momentum calculate profit per client?
- 1
Revenue by family
Fulfillment, shipping, storage, receiving, packaging, ad-hoc and recurring revenue per client — for the month or since the last bill.
- 2
Cost in layers
Shipping margin from settled carrier cost, packaging materials consumed, then loaded labor. Each layer shows separately, so you can see which one is eroding an account.
- 3
Labor at the associate level
Labor-fee revenue against loaded labor cost per person, including what errors cost in credits and absorbed replacement labels.
- 4
Shrink, valued
Inventory variance per SKU valued in dollars and settled into a client credit when it's on you — so shrink shows up in margin instead of hiding in counts.
Capabilities
What's in Client Profitability
What each piece does, in plain terms.
| Capability | What it does |
|---|---|
| Revenue & profit board | What each client brings in and what it costs to earn, in one table. |
| Shipping margin from settled cost | Carrier actuals once invoiced, quoted estimates until then — labeled as such. |
| Packaging and materials | Materials consumed per client, plus a company-wide consumed vs. purchased vs. on-hand view. |
| Workforce economics | Labor-fee revenue, loaded cost, spread and error cost per associate. |
| Shrink valuation and settlement | Inventory variance priced and settled into client credits. |
| Allocated labor cost by client | Labor cost layered onto each client's margin, from entered payroll or a roster-and-hours estimate. |
What changes
Renewals backed by numbers
Reprice an account with evidence of what it actually costs to serve.
Complexity drift caught early
See when a client's orders get heavier, bigger or more manual than its rate card assumed.
Better quotes next time
Real margins from today's clients inform pricing for tomorrow's.
Connects to
- ShipHero
- UPS invoices
- Momentum billing engine
- Momentum floor app
FAQ
Client Profitability: common questions
What costs does Momentum include in client profitability?
Settled carrier cost, packaging materials consumed and loaded labor. Each layer shows separately, and the page shows which layers are complete for each client.
Can clients see profitability data?
No. Profitability, costs and margins are finance-only and never reach the client portal.
How is this different from a P&L in accounting software?
Accounting software tells you the company's margin. Momentum splits it by client using operational data — which orders, labels, boxes and hours each client actually consumed.
See what your last billing cycle missed.
Early access starts with a walkthrough and shadow billing on a few clients — compare every line before you switch.