Compare a prepaid product's value to the cost of supporting it
A bundle can sell well and still take more time to support than the outlet can spare. Use pilot records to see what the product brings in and how much work it takes to train cashiers, answer questions and close the books.
Count completed sales and value, then record how much extra time staff spend preparing, explaining and correcting those sales. Separate launch costs from work that recurs each month. Confirm fees and settlement terms in writing and ask finance how to classify them.
Decision worksheet
| Measure | What to collect | Evidence |
|---|---|---|
| Customer value | Requests and completed purchases | Sales and request log |
| Product contribution | Confirmed proceeds less applicable direct cost | Supplier terms and finance method |
| Staff effort | Minutes by task and role | Time sample |
| Exceptions | Count, type and resolution time | Support tickets |
| Other cost | Training, system or reconciliation work | Approved internal estimate |
By Freepaid · Published
Use transparent assumptions
For internal comparison, state the period, rate assumptions and included costs. Do not present an illustrative calculation as actual profit. The business model matters: a retailer, distributor and campaign buyer may account for value differently. Formal revenue, tax and accounting treatment should be confirmed with the appropriate finance professional.
Time sampling can be practical. Observe a set of normal transactions and record the work involved: customer selection, entry, receipt, reconciliation and exception follow-up. Include a representative mix of shifts if workload varies. Do not count every minute of a cashier shift as product support. Estimate incremental time and explain how the estimate was made.
Worked example: staff time changes the picture
Take a product that contributes R100 in a month before operating costs. It needs three hours of support each month. At an internal planning rate of R120 an hour, that time costs an estimated 3 × R120 = R360. The simple comparison is R100 − R360 = −R260 before other costs. Check the rate, shared work and what the product does for customers before deciding whether to keep it.
Use the shop's actual contribution, hours and planning rate in the worksheet. Add confirmed fees and recurring costs, with launch work on a separate line. If most support comes from one confusing till step, fix it and measure the time again.
Review the causes behind the number
Break exceptions into useful categories: wrong selection, missing reference, customer question, delayed result, reconciliation mismatch or supplier query. Count how many cases are resolved by training, better receipt wording, revised limits or an improved supplier process. A single serious issue may warrant attention even if the exception count is low, so combine numeric measures with a documented risk review.
Compare like periods and outlets. A seasonal week or one-off promotion may distort the result. Note when a category changed price, availability or support workflow. If unresolved transactions remain, investigate them by original reference and exclude them from completed totals until their outcome is known.
Make a clear range decision
- Choose a review period and state the product's original purpose.
- Collect sales, confirmed costs, staff time, exceptions and customer requests.
- Document estimation methods and separate recurring from one-time costs.
- Resolve unknown outcomes and confirm supplier terms.
- Decide whether to continue, adjust the range or retire it.
- Assign an owner and date for checking the outcome of any change.
If you keep the product, record what made it manageable. If you change the way you sell it, say what you'll test and how you'll judge the result. If you retire it, plan who removes access, settles the balance and informs customers. See the 90-day product review for the decision table.