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Unit Economics

Overview

Unit Economics solution is designed to quantify the total cost associated with delivering products or services to customers.

Steps to create Unit Economics

  1. Cost Gathering / Allocation

    • Create a cost allocation that includes direct and indirect/shared components (segments) of the costs to arrive to a Total Cost of the allocation

  2. Cost Splitting

    • Identify the cost splitting i.e. identify the cost that you wanted to split segments in unit Cost ( per execution )

  3. Unit Economics

    • Calculate the cost that can be served for the segment ( per dimension, e.g. Customer )

Below are examples of cost gathering, cost splitting, and calculating Unit Economics

Example 1 - No Dimension

  • Identify the unit metrics that you want to apply, as shown below

Month

# of Calls

2025-01-01

400

2025-02-01

200

  • Cost Allocation - Total Cost of cost allocation in a Month, e.g. consisting: direct, shared, etc.

Month

Total Cost

2025-01-01

1000

2025-02-01

600

  • Cost Splitting - Unit Cost of running on allocation per Execution:

Month

Unit Cost

2025-01-01

1000 / 400 = 2.5

2025-02-01

600 / 200 = 3

  • Unit Economics - N/A

Unit Metric API to post via Postman

CODE
curl --location 'https://api.mavvrik.ai/api/cost-to-serve/metric/<Unit Economicsr id>' \
--header 'Content-Type: application/json' \
--data '{
    "metrics": [
        { 
            "date": "2025-01-01", /* will be aggregated to month */
            "value": 400
        },
        { 
            "date": "2025-02-01",
            "value": 200
        }
    ]
}'

Example 2 - Single Dimension

  • Units BY Customer, with the following Unit Metric input:

Month

Customer

# of Calls

2025-01-01

Customer A

100

2025-01-01

Customer B

300

2025-02-01

Customer A

100

2025-02-01

Customer B

100

  • Cost Allocation - Total Cost of cost allocation in a Month, e.g. consisting: direct, shared, etc.

Month

Total Cost

2025-01-01

1000

2025-02-01

600

  • Cost Splitting - Unit Cost of running on allocation per Execution:

Month

Unit Cost

2025-01-01

1000 / 400 = 2.5

2025-02-01

600 / 200 = 3

  • Unit Economics - Serving Cost of running on allocation per Dimension:

Month

Customer

# of Calls

Unit Economics

2025-01-01

Customer A

100

2.5 * 100 = 250

2025-01-01

Customer B

300

2.5 * 300 = 750

2025-02-01

Customer A

100

3 * 100 = 300

2025-02-01

Customer B

100

3 * 100 = 300

Unit Metric API to post via Postman

CODE
curl --location 'https://api.mavvrik.ai/api/cost-to-serve/metric/<Unit Economicsr id>' \
--header 'Content-Type: application/json' \
--data '{
    "metrics": [
        { 
            "date": "2025-01-01", /* will be aggregated to month */
            "dimensions": [
              { "key": "customer", "value": "Customer A" }
            ],
            "value": 100
        },
        {
            "date": "2025-01-01",
            "dimensions": [
              { "key": "customer", "value": "Customer B" }
            ],
            "value": 300
        },
        { 
            "date": "2025-02-01",
            "dimensions": [
              { "key": "customer", "value": "Customer A" }
            ],
            "value": 100
        },
        {
            "date": "2025-02-01",
            "dimensions": [
              { "key": "customer", "value": "Customer B" }
            ],
            "value": 100
        }
    ]
}'

Example 3 - Multi Dimensions

  • Units BY Customer and Location, with the following Unit Metric input:

Month

Customer

Location

# of Calls

2025-01-01

Customer A

US

60

2025-01-01

Customer A

EU

40

2025-01-01

Customer B

US

200

2025-01-01

Customer B

EU

100

2025-02-01

Customer A

US

30

2025-02-01

Customer A

EU

70

2025-02-01

Customer B

US

25

2025-02-01

Customer B

EU

75

  • Cost Allocation - Total Cost of cost allocation in a Month, e.g. consisting: direct, shared, etc.

Month

Total Cost

2025-01-01

1000

2025-02-01

600

  • Cost Splitting - Unit Cost of running on allocation per Execution:

Month

Unit Cost

2025-01-01

1000 / 400 = 2.5

2025-02-01

600 / 200 = 3

  • Unit Economics - Serving Cost of running on allocation per Dimension:

Month

Customer

Location

# of Calls

Unit Economics

2025-01-01

Customer A

US

60

2.5 * 60 = 150

2025-01-01

Customer A

EU

40

2.5 * 40 = 100

2025-01-01

Customer B

US

200

2.5 * 200 = 500

2025-01-01

Customer B

EU

100

2.5 * 100 = 250

2025-02-01

Customer A

US

30

3 * 30 = 90

2025-02-01

Customer A

EU

70

3 * 70 = 210

2025-02-01

Customer B

US

25

3 * 25 = 75

2025-02-01

Customer B

EU

75

3 * 75 = 225

Unit Metric API to post via Postman

CODE
curl --location 'https://api.mavvrik.ai/api/cost-to-serve/metric/<Unit Economicsr id>' \
--header 'Content-Type: application/json' \
--data '{
    "metrics": [
        {
            "date": "2025-01-01", /* will be aggregated to month */
            "dimensions": [
              { "key": "customer", "value": "Customer A" },
              { "key": "location", "value": "US" }
            ],
            "value": 60
        },
        { 
            "date": "2025-01-01",
            "dimensions": [
              { "key": "customer", "value": "Customer A" },
              { "key": "location", "value": "EU" }
            ],
            "value": 40
        },
        {
            "date": "2025-01-01",
            "dimensions": [
              { "key": "customer", "value": "Customer B" },
              { "key": "location", "value": "US" }
            ],
            "value": 200
        },
        {
            "date": "2025-01-01",
            "dimensions": [
              { "key": "customer", "value": "Customer B" },
              { "key": "location", "value": "EU" }
            ],
            "value": 100
        },
        {
            "date": "2025-02-01",
            "dimensions": [
              { "key": "customer", "value": "Customer A" },
              { "key": "location", "value": "US" }
            ],
            "value": 30
        },
        { 
            "date": "2025-02-01",
            "dimensions": [
              { "key": "customer", "value": "Customer A" },
              { "key": "location", "value": "EU" }
            ],
            "value": 70
        },
        {
            "date": "2025-02-01",
            "dimensions": [
              { "key": "customer", "value": "Customer B" },
              { "key": "location", "value": "US" }
            ],
            "value": 25
        },
        {
            "date": "2025-02-01",
            "dimensions": [
              { "key": "customer", "value": "Customer B" },
              { "key": "location", "value": "EU" }
            ],
            "value": 75
        }
    ]
}'


Steps to create Unit Economics in Mavvrik portal

  1. Log into Mavvrik

  2. Click on the menu

  3. Click on unit economics under operate

  4. Click on +Unit Economics

  5. Fill in the details and click on create

  6. Unit Economics entry is created

  7. Click on the created Unit Economics entry

  8. Click on +segment

  9. Select the Cost allocation to which you want to apply the unit economics and click on Next

    image-20250916-104439.png

  10. Enter the dimensions you have calculated in the cost splitting step and click on Create

    image-20250916-104927.png
  11. You will see below

image-20260428-043715.png
  1. Click on the three dots and click on edit

  2. Go to the metrics tab and capture the curl command

  3. Update the Unit Economics metrics calculated and post the data using Postman

  4. After the data is posted, you can see the data in the UI as below

    image-20260428-043910.png




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