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๐ท๏ธ Wholesale Price Calculator
Set wholesale and retail prices from product cost and the margin each level needs.
About this Wholesale Price Calculator
This wholesale price calculator builds the two-step price ladder used by manufacturers, importers and distributors: cost plus your wholesale margin gives the price retailers pay, and that price plus the retailer margin gives the shelf price. It uses true margin maths โ margin is a share of the selling price, not of cost โ which is how shops and distributors actually quote, so the prices you set protect the profit you planned.
How to use it
- Enter what one unit costs you to buy or produce.
- Enter the wholesale margin percentage you need when selling to shops.
- Enter the retail margin percentage shops expect on top of the wholesale price.
- Click Calculate to see both prices and the profit each level makes per unit.
Example
A product costing 500 with a 20% wholesale margin prices at 625 wholesale; a 30% retail margin on that gives a shelf price of about 892.86, leaving the shop 267.86 per unit.
Frequently asked questions
Why is the price higher than cost plus the percentage?
Because margin is calculated on the selling price, not the cost. A 20% margin means profit is 20% of the final price, so price = cost รท (1 โ margin). This is the correct trade formula; adding 20% on top of cost would only give a 16.7% margin.
What margins are typical?
They vary widely by trade: fast-moving consumer goods often carry thin wholesale margins of 5โ15%, while fashion and cosmetics can exceed 40%. Check what your market already accepts.
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