WayPoint Analytics - Distributor-Specific Profit Analytics

Where Did the Profits Go?

Soaring labor and operating costs are eating away your margins, with over 60% of invoices losing money and wiping out up to 75% of your profits. The hidden cost drivers in your operations are turning earned profit into losses. Profit analytics can reveal exactly where you're leaking profit, giving you the power to capture it. In distribution, this insight can double your bottom line – and it's within reach.

Profit analytics solving distribution profit erosion for wholesale businesses

How WayPoint Brings Profits Back

WayPoint Analytics is the industry's top system with over 100 distributor-specific analyses and the most advanced costing and profit tracking available. It calculates costs and profits for every part of your business – from invoices to customers, products, and beyond. WayPoint uncovers hidden profit opportunities, empowering your team to eliminate losses, optimize pricing, and boost efficiency. With clear insights, your team knows exactly where to focus for the fastest, most impactful results – no wasted effort.

Profit Conversion Rates are the Key to Sales Strategy & Growth

Only with WayPoint can you see the customers and products that convert revenue to profit at rates well above the norm..

Best Strategies for New Profits

Traditional sales strategies are no longer enough to address today's profit challenges – the easy wins are gone. You'll gain powerful, surprising insights into high-impact areas that were previously hidden. Combined with our expert guidance, you'll implement new, highly effective initiatives that deliver unprecedented results. Companies using these strategies are seeing record gains and transformative growth. Below are just a few of the many approaches now unlocking new levels of profitability.

Maximizing distribution profits by focusing on high-profit accounts

Focus on High-Profit Accounts

You have accounts that convert revenue to profit at 4× the normal rate. (Real profits, not margin.) Prioritize them for fast bottom-line growth.

How to eliminate small, unprofitable orders with WayPoint Analytics

Eradicate Small Orders

Tens of thousands of small orders are draining profits you've already made on other accounts. Now you can identify the sources of the orders so you can control them. We'll help you with strategies and tactics. This is a significant opportunity, and you can see results in thirty days.

Correcting pricing anomalies for pick quantities in distribution

Correct Pricing Anomalies

Low-value items lose money when pick quantities don't have enough value to cover costs. Correcting the pricing anomalies that allow this will add hundreds of thousands to your profits. Another easy win with advanced analytics exclusive to WayPoint.

You're Making More Money Than You Know

Most distributors are only capturing 20-25% of their actual profits, leaving massive opportunities on the table. With WayPoint Analytics, you'll expose the hidden losses dragging down your margins and unlock a clear path to reclaim those profits. Whale curves help visualize massive profit opportunities, and reveal how you can boost your bottom line by 50% or more.

Whale Curve shows the magnitude of available profit

WayPoint Analytics cost and profit system for distributors

How WayPoint Works

WayPoint takes 100% of your G/L data, translates it into cost information, and integrates it directly into your invoices. Each cost is accurately distributed only to the invoices related to that cost, including rebates, sales commissions, transport, and labor. With millions of calculations, WayPoint computes a full P&L for every line of every invoice. The result? Precise costs and profits for every customer, product, territory, branch, supplier, and customer group. This is the most comprehensive and detailed cost and profit system available – no one else even comes close.

You Have Customers Delivering Profit at 4× Your Company Rate

WayPoint shows who and how much – your team can maximize high-profit sales right away.

What You Can Do With WayPoint

When you add distributor-specific analyses to your existing system, the new information targets specific areas and items for direct action. You'll have a "punch list" to add new profits and cash-flow.

Optimize Costs Efficiently

Our system provides deep cost insights to enhance profitability.

Enhance Productivity

Our tools streamline operations for maximum productivity.

Boost Efficiency

Revolutionize your distribution approach with actionable insights.

Comprehensive Insights

Gain a holistic view of your distribution ecosystem.

Profit Analysis

Unlock higher profit margins with precise analytics.

Data Precision

Achieve unmatched accuracy with our analytics dashboard.

Why WayPoint is the Most-Chosen Solution

WayPoint Analytics is the only choice for distributors who want to boost profits and lead their market. With over a decade of experience, we specialize in cost and profit analysis—it's all we do. Our exclusive analytics are designed for distribution challenges, offering insights no other system can match. We've written five best-selling books on profitability strategies, and our tools have delivered over $5B in new profits to clients. If you're ready to accelerate your success, WayPoint is the answer.

Our Clients Get Strategy Briefings

Out team has over 100 years of executive experience, and all we do is work on strategy and profit analysis for hundreds of distributors. We see the best ideas and the most surprising innovations, and can share them with you and your team. You'll get direct access to hundreds of concepts and processes that have produced outstanding financial performances and market-leading growth.

The "Small Order Problem" Has Been Around for Decades

It's why your profits have dropped and WayPoint will show you exactly how to solve it.

Clients Love WayPoint Analytics

Here's what they've told us...

WayPoint Analytics transformed our approach, boosting profits.

Their data insights reshaped our operational strategies.

WayPoint significantly improved our profit margins.

One Simple Pricing Trick Adds $100,000 to Your Bottom Line

WayPoint will give you what you need to get it done in a few days – we'll show you how.

8 Highly Effective Strategies

These are some of the best strategies to quickly and permanently increase profit rates, cash-flow and growth. WayPoint delivers specific analyses for each of these.

+ 1. Focus on High Revenue-to-Profit Conversion Customers

Target customers with the highest revenue-to-profit conversion rates for quick profit boosts.

While your company may convert only 5% of overall revenue into profit, certain customers convert 20% or more. Increasing sales with these high-performing customers can rapidly grow profits and cash flow. WayPoint's Profit Value Segmentation model highlights these key accounts, helping you focus on them for immediate and lasting profit gains.

+ 2. Eliminate Losses from Small Orders

Address systemic losses from small, unprofitable orders that erode overall profits.

Small orders that cost more to process than they generate are a persistent issue, dragging down profit margins. WayPoint identifies the customer groups that generate the majority of these orders, allowing you to implement margin increases and policy changes. These changes can boost profits by 50% or more, leading to sustainable, long-term improvements in profit rates.

+ 3. Implement Minimum Order Quantities (MOQs)

Use Minimum Order Quantities (MOQs) to avoid sales that can't cover costs, boosting profitability.

Rising labor costs and shortages have increased the threshold for profitable order sizes. WayPoint's tools analyze the "all-in" costs of every line item on an invoice, showing profit margins at different quantity levels. The analysis includes shipping costs, rebates, and location-specific operating costs. Eliminating low-value sales at unprofitable quantities can increase company profit rates by 50% or more—a unique power offered by WayPoint.

+ 4. Leverage Low Cost-to-Serve Customers for Growth

Target low-cost-to-serve customers to maximize profitability and focus on acquiring similar accounts.

While typical accounts may cost your company 20% of revenue to serve, there is a group of elite customers with much lower service costs and higher-than-average profit rates. WayPoint's Profit Value Segmentation identifies these top performers, allowing your sales team to target similar high-potential prospects, narrowing their focus to accounts that can outperform competitors and drive profitable growth.

+ 5. Use NBC (Net Before Compensation) to Align Sales with Profit

Align sales and commissions with actual profits, not misleading margins.

WayPoint calculates the true profit on every invoice line using NBC (Net Before Compensation), which accounts for both margins and real costs. This helps companies understand which sales are truly profitable and prevent decisions based on misleading margin data. Many companies have started aligning their commissions with NBC, which has become a key metric in nearly all WayPoint analyses.

+ 6. Convert Large Loss-Making Accounts to Profitability

Identify and resolve profit-draining issues in large accounts.

Certain large accounts may be responsible for significant losses due to frequent small orders or structural imbalances between margins and costs. WayPoint identifies these accounts and pinpoints where the losses are coming from, offering actionable strategies your team can use to convert them into profit-generating relationships.

+ 7. Boost Operational Efficiency with ROX (Return on Expenditures)

Increase manpower productivity and operational efficiency to lower costs.

Improving the productivity of your workforce can reduce operational costs while handling more product value. WayPoint analyzes all aspects of your operations, and its exclusive ROX (Return on Expenditures) metric provides detailed comparisons of cost efficiency across locations, product lines, and time periods. This allows you to operate at a lower cost than your competitors, enhancing overall productivity and profitability.

+ 8. Maximize Rebates for Extra Profit

Increase rebate income to drive additional profit from purchasing agreements.

Rebates can provide a significant boost to the bottom line. WayPoint tracks the impact of rebates on customer and product profitability, and its Vendor Relationship analysis gives you the same insights used by Fortune 500 buying groups. By using WayPoint's tools, distributors can improve purchasing decisions and maximize rebates, turning professional purchasing into a profit-generating function.

Leverage Operations for Profit Gains

The biggest gains are now coming from precisely matching operations to order value. Since WayPoint knows the precise costs, and has metrics like OCR and ROX that quantify profit opportunity and profit production, you get vital tools to managae and monitor procutivity and efficiency. You can shift resources to where profits are assured.

Optimize Transport Costs

Distributors have long known that managing transport costs is vital to growing profitability. If you operate a fleet, measuring deliveries by the minute (rather than the mile) is best way to evealuate and manage costs. We'll brief your team on this process, and WayPoint can do the heavy lifting of turning delivery time data into precise cost assignments for each customer.

The Ideal Target List for the Best New Accounts is in Your Data

We'll Show You Where.

Frequently Asked Questions

+ What is WayPoint Analytics?

WayPoint Analytics is an advanced cost and profit analysis platform designed specifically for distributors. It enables companies to understand the true profitability of customers, products, and orders by providing detailed insights into hidden costs that affect their bottom line.

+ How does WayPoint Analytics help distributors increase profitability?

WayPoint Analytics helps distributors increase profitability by identifying hidden costs in areas such as logistics, small orders, and inefficient customer relationships. It provides actionable insights that allow businesses to make data-driven decisions, reducing waste and improving overall margins.

+ How is WayPoint different from my ERP system?

While ERP systems typically focus on tracking revenues and gross profits, WayPoint Analytics goes beyond by analyzing logistics, handling, delivery, and compensation costs. This means you get a detailed understanding of Net Before Compensation (NBC), which gives you a more accurate picture of true profitability.

+ What is NBC (Net Before Compensation)?

NBC represents the operating profit after most expenses, such as logistics and overhead, are deducted from the gross profit. It is a more accurate reflection of profitability than gross margin alone, allowing businesses to see exactly where they are making or losing money.

+ How quickly can I expect results with WayPoint?

Most companies start seeing measurable results within the first few weeks of implementation. By using WayPoint's powerful analytics tools, businesses can identify unprofitable areas quickly and make the necessary adjustments to increase profit.

+ Does WayPoint integrate with my existing systems?

Yes, WayPoint Analytics integrates easily with your existing ERP and accounting systems. This allows for a seamless flow of data from your current platform into WayPoint, where you can start gaining deeper insights without disrupting your operations.

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