What is Average Unit Margin (AUM)?

Average Unit Margin is a merchandising KPI that measures the average gross margin of a single unit of a particular product or SKU.

Here's Sean Corson, Daasity's Chief Analytics Officer for more:

Average Unit Margin Formula

To calculate AUM, divide gross margin of a particular product by the number of units sold of that product:

Remember that when you plug your data into a formula, you must be using data from the same time period. Otherwise, the calculation/metric will be inaccurate.

Dave Swendeman

Dave loves words, wordplay, and he has the audaasity to use a pun in his bio. Dave runs content at Daasity, and he works to make sure that as many people as possible understand how a data-driven business is a better business. Outside of work, he can be found studying languages, lifting things up and putting them down, and tending to his citrus trees.

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