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How to calculate the marginal contribution
How to calculate the marginal contribution

The aim of this article is to help you calculate the marginal contribution.

Kevin Bagayoko avatar
Written by Kevin Bagayoko
Updated over a year ago

To understand what the marginal contribution or marginal value is, please check the following article that covers this topic thoroughly: https://intercom.help/bsport-helpcenter/en/articles/6117685-understanding-the-theoretical-marginal-contribution.

1st step: Calculate the marginal contribution of an activity.

In "Reporting" > Click on the icon "+" in the right bottom corner in order to create a new report > Click on "Sessions" > Click on "Marginal value" (and any additional information you'd like to include in the report).

2nd step: Calculate the marginal value per booking.

  • Bookings (group sessions).

  • Reservations (appointments).

3rd step: Use the marginal value to calculate the payment rate for a teacher in case they should be paid a % of what the session generates in terms of revenue

In "Settings" > Payroll > Click on the "+" sign to add a payment rate and select the right type of activity for which the rule should be applied.

To include a % of the marginal value, click on the option "add a percentage of the margin value of the bookings" and indicate the percentage. Complete the form with any additional information for bonuses and save it.

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