Sales are growing, but profit is not

Separate revenue, variable costs and fixed costs. Compare acquisition cost with customer contribution over a consistent period. Do not treat projected LTV as fact: show scenarios and unknown inputs.

RA LAB practical guide · published 16 October 2026 · based on the library’s GRI / GTM sources.

GOAL

Understand contribution per sale and test acquisition economics.

VALUABLE FINAL DELIVERABLE

A revenue, variable cost, CAC and scenario worksheet with explicit assumptions.

From problem to decision

1. Define the unit

A transaction, a customer and a subscription month are different units. Choose one unit and a consistent period.

Unit, period, data source and missing inputs.

2. Calculate contribution

Contribution per unit equals revenue per unit minus variable costs. Include payment, service, returns and other costs that grow with sales. This is not net profit.

Revenue, variable costs, contribution and exclusions.

3. Check acquisition

CAC equals acquisition spend divided by new customers over a consistent period. State the cost scope. Subscription payback depends on retention and monthly contribution.

Spend, new customers, CAC, contribution over the period and retention scenarios.

4. Choose a change

Test pricing, cost and retention scenarios. Set a minimum acceptable outcome and validate it using actual data.

Which input changes, how do we measure it, and when do we decide?

How to judge whether it helped

You should leave with a document that supports a decision and a next action. Completing steps does not guarantee a commercial result. Measure the chosen change separately over an agreed period. If evidence is missing, state that and plan how to collect it.

How this differs from S01–S13

This is a user route for a specific problem. The GRI AI research stages S01–S13 and the 13-week programme remain in the library as separate methodological work. This route is not a validated GRI diagnostic scale.

Your route0 / 4 · 0%

Completed 0 · remaining 4

Next action: Define the unitThe percentage measures completed steps, not proven business growth.

Define the unit

A transaction, a customer and a subscription month are different units. Choose one unit and a consistent period.

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Discuss this problem ↗

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Data & privacy

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Sources and supporting materials

Methodological references. Links lead to original materials; worksheet examples are not research findings.

Monetizing Innovation ↗Ramanujam & Tacke · Design product, packaging and pricing around willingness to pay and value metrics.The Go-to-Market Framework ↗Go-to-Market Alliance · A cross-functional framework for aligning product, marketing, sales and customer success around one market motion.Open the full source catalog →