in shopify what is the difference between gross sales and total sales

at hey guys welcome back today we are,going to look at,the shopify admin panel and uh let's,look at a few reports,so this is one of the reports which,shopify shows for all stores the sales,over time,it basically tells you the number of,orders that were ordered in your store,and also shows you the cross sales the,net sales and the total sales,so we're going to look at how shopify,actually calculates these amounts,what is gross sales what is net sales,and what is total sales,to calculate gross sales you've got to,multiply two figures,that is the number of items that were,sold into,the cost price of each item so you can,see here that the,gross sales is 34 880 and if i actually,just go into these two dummy orders,which i created you can see that,the first order has a total of twenty,nine thousand three hundred thirty four,and the second order has a total of,eleven thousand one ninety five so if,you add these two,it comes to uh thirty four thousand,eight eighty so this is how shopify,calculates the gross sales,the discount is is pretty,straightforward it's,it is uh it shows the discount which you,gave on an order so in this case i gave,a discount of,199 for this order and it shows,correctly that the discounts were 199.,the returns is it if a customer actually,has a problem with the order and,actually returns the order,or if the customer couldn't fulfill the,payment for some reason,now you can mark that as return in this,case i have no returns,the net sales is the sum of the sorry,the net sales is the gross sales,minus discounts minus returns so 34 080,minus 199 comes to 34,680 and the total sales is the net sales,plus shipping plus tax,so in this case you can see that the net,sales is 34,680 plus 1400 for shipping,plus 4479 for tax which comes to forty,thousand five fifty nine,and the shipping it's again these two,numbers are pretty straightforward if,you go into your orders,you can see that you charged a tax of,4479 over here,which correctly shows over here and if,you go into this order you can see that,the shipping cost was 1400,which shows rightly over here so this is,the,sales over time this is a really useful,report what you can do is actually put a,goal,for your total sales say you want to hit,two extra sales in one month,put that as a goal and keep tracking,this report every day to see,how far you are from achieving that goal,another important thing to note is that,you have to enter the cost price of each,product variant,on the shopify admin panel that's the,only way you can see these numbers if,you don't actually enter the cost price,shopify won't be able to calculate the,gross sales and the net sales and the,total sales,so let me just show you how you can,actually enter the cost sale of each,product,if you actually go into the products go,into the product and then,go into the variance so in this product,uh nike air force has,seven variants and if you go into the,variant you can see the,field for cost per item so you can see,that the price,this is the selling price this is the,cost price and there is an easier way to,actually,update your cost per item than going to,each product variant what you can do is,actually go,to all products and select all the,products which you want to add,the cost per item and you click on edit,products,and then you can add the fields which,you want to edit the,details for in this case i want to add,the cost per item,so you can see that the cost per item is,added over here so this is an easier way,of updating the cost items for all your,product variants in one go you still,have to,manually enter the product cost per,price,for each item but it's easier than going,to each product variant page and doing,that manually that would take much more,time,so that's it for today in the next few,videos we look into more reports,and we'll analyze what are the important,reports that you as a shopify store,owner should focus on,thank you have a good day

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