Profit Floor

A profit floor is the minimum acceptable margin threshold a merchant sets for each order. Unlike traditional margin targets that are monitored retroactively at month-end, a profit floor is checked on every order as it comes in. Agentis evaluates each order within 60 seconds of it being placed against the configured floor, factoring in applied discounts, current COGS from NetSuite, freight zone costs, payment fees, and FX rates, and either flags any order that falls below it with the leak and a recommended fix, or automatically holds it before fulfillment under rules the merchant approves. Profit floors can be configured per SKU category, freight zone, promo type, or any combination, giving merchants granular control over the minimum acceptable profitability of each order. It is worth distinguishing a pricing floor from a margin floor, because the two are often conflated. A pricing floor (or list-price floor) governs what you ADVERTISE: the lowest price a SKU may be shown or sold at, the mechanism behind MAP enforcement and the output of repricing tools that set automated pricing floors against competitor data. A margin floor governs what you NET per order after discounts, COGS, freight, fees, and FX are subtracted; it is indifferent to list price and cares only about the dollar or percentage profit that survives to the bottom line. A profit floor is a margin floor: Agentis is not a repricer and does not set advertised prices or change the cart at checkout. It checks the margin floor on each placed order and flags or holds the specific orders where the realized combination of price and cost breaches it, even when every individual list price remains perfectly compliant.