Channel Profitability Analysis
The biggest-revenue channels are not the most profitable. Across ten channels, contribution margin ranges from 44% to 54% of revenue, and distribution — the route usually assumed to be cheaper — lands at the bottom. This tool traces where each dollar of the brand's ~$25.3M in combined invoiced revenue (CY2025) becomes contribution, and where it disappears. Cinderhaven is a fictional specialty food brand; the figures are illustrative.
* FY2026 is in progress — a partial year (data ends early in Q1), so its totals are below a full fiscal year (FY2025: ~$25.7M).
Retailers
6 channels · $17.4M revenue
Annual average (2023–2025), all 6 retailers
Distributors
3 channels · $8M revenue
Annual average (2023–2025), all 3 distributors
DTC
1 channel · $188.7K revenue
Annual average (2023–2025), DTC channel
Revenue by Channel
Annual average (2023–2025) · Top 3 = 41% of revenue
Margin Evolution
Quarterly, Q1 2023 – Q1 2026, all channels · Click a line to isolate
Dispute Overhead
Annual average (2023–2025) · Bubble size = channel revenue
The Full Picture
| Channel | Revenue | Net Contribution | Margin ▼ | Erosion |
|---|---|---|---|---|
| Whole Foods | $3.3M | $1.8M | 55.6% | $1.5M |
| Sprouts | $2.8M | $1.5M | 53.2% | $1.3M |
| DTC | $188.7K | $99.7K | 52.8% | $89K |
| Regional Group | $2M | $1M | 51.0% | $993.9K |
| Kroger | $3.5M | $1.8M | 50.8% | $1.7M |
| Median | 49.8% | |||
| Walmart | $3.6M | $1.8M | 48.8% | $1.8M |
| Costco | $2.2M | $1M | 46.8% | $1.2M |
| KeHE | $3M | $1.4M | 46.5% | $1.6M |
| UNFI | $3.2M | $1.5M | 45.2% | $1.8M |
| DPI Northwest | $1.8M | $803.6K | 44.4% | $1M |
Annual average (2023–2025) · Click column headers to sort
Capital Allocation
Grow retail volume
5.6 points above distribution. Deduction profiles are more complex, but per-dollar return more than compensates. Incremental volume here delivers the highest marginal return.
Restructure dispute triage
Walmart alone accounts for $28.7K on ~442 disputes/yr. Automate low-value claims, raise the filing threshold, or eliminate disputes where recovery is negligible.
Review Costco economics
Trade deduction rate of 1.1% of revenue — highest among retailers. A trade-term renegotiation or promotional rebalancing could close part of the gap.