Set your selling price and profit from cost and markup
Markup is based on cost (profit/cost), while margin is based on selling price (profit/price). A 25% markup equals a 20% margin. Understanding this difference is crucial for proper pricing decisions.
Different industries have varying typical markup ranges. Research your industry benchmarks to ensure competitive yet profitable pricing that aligns with market expectations.
Study competitor pricing strategies and markups. This helps you position your products competitively while maintaining healthy profit margins and market share.
Regularly review and adjust your markup strategy based on costs, market conditions, and business goals. Flexible pricing ensures long-term profitability and competitiveness.
Our markup calculator helps you determine the optimal selling price for your products and services. Whether you're a retailer, wholesaler, or service provider, understanding markup calculations is essential for profitable pricing strategies and business success.
Markup is the amount added to the cost of goods to determine the selling price, typically expressed as a percentage. Unlike profit margin, which is calculated based on the selling price, markup is based on the cost. This distinction is important for accurate pricing and financial planning.
Use this calculator to experiment with different markup percentages, analyze profit potential, and develop competitive pricing strategies. The tool helps you balance profitability with market competitiveness, ensuring sustainable business growth and customer satisfaction.