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MeritSKU
Case Study
AI E-Commerce Intelligence & Landed Cost Optimization
MeritSKU is a high-performance e-commerce intelligence platform that solves the critical blind spot facing multi-channel merchants: hidden margin erosion. While traditional analytics track top-line GMV, MeritSKU computes the true CM2 contribution margin of every inventory unit across Shopify, WooCommerce, and Amazon SP-API.
Engineered with an unwavering 100% draft-only invariant, the platform protects client catalogs by ensuring no AI recommendation or automated repricing changes live storefront listings without human authorization.
Project Type:
Enterprise SaaS Platform
Status:
Production — Live
Live URL:
meritsku.com
Architecture:
Turborepo Monorepo
Database:
PostgreSQL 16 (RLS)
Hosting:
Google Cloud Run
Landed Cost Factors
MeritScore Dimensions
Draft-Only Invariant
Product Showcase
The Live Platform
Problem Statement
The Challenge
Modern e-commerce brands often see rising revenues alongside vanishing bank balances. Standard dashboard metrics conceal insidious operational costs: overseas shipping surcharges, demurrage fees, import tariffs, 3PL storage penalties for slow-moving inventory, platform transaction take-rates, and return processing losses.
Furthermore, merchants feared automated tools that aggressively push listing changes or price updates directly into active marketplaces, risking compliance flags, search rank penalties, or unintended inventory dumps. The industry demanded an enterprise-grade system combining rigorous financial math with ironclad operational safeguards.
The 12 Factors of True Landed Cost (CM2)
MeritSKU replaces flawed gross-margin guesswork with surgical per-unit economics:
Platform Architecture
Core Platform Capabilities
12-Factor Landed Cost (CM2)
6-Dimension MeritScore
100% Draft-Only Invariant
Multi-Channel Ingestion
Margin Erosion Warning
Automated Tariff & HS Code AI
Algorithmic SKU Intelligence
The 6-Dimension MeritScore
Instead of sorting inventory purely by sales volume or basic markup, MeritSKU scores each SKU dynamically from 0 to 100 across six weighted operational vectors:
- CM2 Margin Health (30%): True net profitability after all 12 landed cost factors.
- Sales Velocity (20%): Turn rate and sales cadence across connected active channels.
- Return Propensity (15%): Historical RMA frequency, customer dissatisfaction risk, and return freight penalty.
- Storage Cost Drag (15%): Days in inventory relative to warehouse storage fees and volumetric footprint.
- Advertising Efficiency (10%): Blended TACoS and incremental ROAS attribution per product.
- Seasonality & Lead Time Risk (10%): Supplier lead time variance vs. demand cycle fluctuations.
The 100% Draft-Only Invariant
A cornerstone of Razor Consulting's architectural design: MeritSKU enforces an unbreakable invariant across all store connections:
INVARIANT: All SKU title revisions, description rewrites, price adjustments, and bundle suggestions must be saved exclusively as merchant drafts. Direct production mutation is denied by design.
This eliminates catastrophic pricing errors and ensures human brand governance over every AI-generated asset.
Built With
Technology Stack & Architecture
Monorepo Architecture
Turborepo (TypeScript 5.8 + Node 22)
Frontend Framework
Next.js 15 (App Router + Server Components)
Database & Isolation
PostgreSQL 16 with Row-Level Security (RLS)
Data Access Layer
Drizzle ORM (Type-Safe Schema & Migrations)
Cloud Infrastructure
Google Cloud Run + Cloud SQL (Private VPC)
AI Reasoning Engines
Multi-Engine LLM (Google Gemini & Claude)
E-Commerce Integrations
Shopify GraphQL, WooCommerce REST, Amazon SP-API
Test Suite & Rigor
2,209 Passing Automated Tests (Unit, RLS, Invariant)
Design System
Tailwind CSS + Radix UI Primitives
Security & Auth
Multi-Tenant RBAC + Session Security Middleware
Enterprise Tenant Isolation
PostgreSQL Row-Level Security (RLS)
In multi-tenant SaaS, tenant isolation cannot rely on developer discipline or application-level WHERE org_id = ? clauses alone. MeritSKU delegates isolation to the PostgreSQL kernel itself.
- PostgreSQL 16 native Row-Level Security enabled across all tenant tables
- Connection session configuration sets
app.current_org_idper transaction - Drizzle ORM schema with strict tenant verification wrappers
- Automated RLS test suite actively verifying cross-tenant query rejections
- Zero tenant leakage possible even in the event of an application-layer bug
- Encrypted marketplace credentials stored with KMS-backed envelope encryption
-- PostgreSQL Kernel RLS Policy
ALTER TABLE inventory_skus ENABLE ROW LEVEL SECURITY;
CREATE POLICY tenant_isolation_policy ON inventory_skus
USING (org_id = current_setting('app.current_org_id')::uuid);