{"id":5910,"date":"2020-01-15T09:00:00","date_gmt":"2020-01-15T08:00:00","guid":{"rendered":"https:\/\/www.costperform.com\/?p=5910"},"modified":"2025-04-03T13:52:44","modified_gmt":"2025-04-03T11:52:44","slug":"take-control-of-your-cost-to-serve-expenses","status":"publish","type":"post","link":"https:\/\/www.costperform.com\/take-control-of-your-cost-to-serve-expenses\/","title":{"rendered":"This is how you take control of your Cost-to-Serve expenses"},"content":{"rendered":"\n<p><strong>Did you know that getting your products to your clients can consume up to 15% of your total unit costs? Read here how Santa Claus (and our slightly lower profile clients) use CostPerform to take control of their Cost-to-Serve expenses.<\/strong><\/p>\n\n\n\n<h2 class=\"wp-block-heading\">A large unknown<\/h2>\n\n\n\n<p>Manufacturing companies such as Santa\u2019s factory at the North Pole typically have a good handle on their manufacturing costs. However, these companies can lose that insight as soon as their product leaves the factory. Cost-to-Serve includes costs for transportation, handling, warehousing, and distribution. These costs differ by:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Product (storage time can differ significantly by product)<\/li><li>Customer (order behavior differs by customer)<\/li><li>Distribution channel (online, own stores, intermediates)<\/li><\/ul>\n\n\n\n<div style=\"height:20px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<p>Cost-to-Serve is typically a large unknown, whether these logistics activities are outsourced or performed in-house. Furthermore, customer behavior and expectations have changed dramatically in the past years: ordering online and expecting to get your goods the next day, or even the same day, is the de-facto standard. However, there is a cost associated with expectation changes. This trend has had major impacts on the cost-to-serve amounts, which can add up to 10-15% of the total unit cost.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-style-large is-layout-flow wp-block-quote-is-layout-flow\"><p>Our Cost-to-Serve model returns accurate insights into the costs, the profitability of products, and customer\/distribution channels<\/p><\/blockquote>\n\n\n\n<h2 class=\"wp-block-heading\">Tailored to your situation<\/h2>\n\n\n\n<p>In cooperation with our logistics specialist partner Scala from England, we developed a Cost-to-Serve template in CostPerform. CostPerform\u2019s Cost-to-Serve framework has been applied to various manufacturing companies in both food and non-food and can be tailored with minimal effort to your organization\u2019s situation.<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img fetchpriority=\"high\" decoding=\"async\" width=\"977\" height=\"518\" src=\"https:\/\/www.costperform.com\/wp-content\/uploads\/2020\/12\/Afbeelding1.png\" alt=\"CostPerform Cost-to-Serve model screenshot\" class=\"wp-image-5913\" srcset=\"https:\/\/www.costperform.com\/wp-content\/uploads\/2020\/12\/Afbeelding1.png 977w, https:\/\/www.costperform.com\/wp-content\/uploads\/2020\/12\/Afbeelding1-300x159.png 300w, https:\/\/www.costperform.com\/wp-content\/uploads\/2020\/12\/Afbeelding1-768x407.png 768w\" sizes=\"(max-width: 977px) 100vw, 977px\" \/><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\">Future scenarios<\/h2>\n\n\n\n<p>Our Cost-to-Serve model returns accurate insights into the costs, the profitability of products, and customer\/distribution channels. These models are updated monthly and generate actionable results to optimize the company\u2019s performance. The built-in dashboard in CostPerform allows users to incorporate different future scenarios and as such gives the ability to select the strategy optimized to achieve the company\u2019s mission.<\/p>\n\n\n\n<p>And this is how you can use CostPerform to take control of your Cost-to-Serve expenses, and how Santa Claus makes sure you get your presents at an acceptable price&#8230;<\/p>\n\n\n\n<p><strong>Download our brochure below if you want to know more about CostPerform.<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Did you know that delivering your products can consume up to 15% of your total unit cost? Here&#8217;s how you use CostPerform to lower Cost-to-Serve expenses.<\/p>\n","protected":false},"author":5,"featured_media":5937,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"content-type":"","footnotes":""},"categories":[72],"tags":[],"class_list":["post-5910","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-cost-optimization-strategy"],"acf":[],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.costperform.com\/wp-json\/wp\/v2\/posts\/5910","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.costperform.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.costperform.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.costperform.com\/wp-json\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/www.costperform.com\/wp-json\/wp\/v2\/comments?post=5910"}],"version-history":[{"count":34,"href":"https:\/\/www.costperform.com\/wp-json\/wp\/v2\/posts\/5910\/revisions"}],"predecessor-version":[{"id":15812,"href":"https:\/\/www.costperform.com\/wp-json\/wp\/v2\/posts\/5910\/revisions\/15812"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.costperform.com\/wp-json\/wp\/v2\/media\/5937"}],"wp:attachment":[{"href":"https:\/\/www.costperform.com\/wp-json\/wp\/v2\/media?parent=5910"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.costperform.com\/wp-json\/wp\/v2\/categories?post=5910"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.costperform.com\/wp-json\/wp\/v2\/tags?post=5910"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}