Profit margin and pricing calculator
Enter your product's cost, shipping, payment fees and the margin you want, and see the price that delivers it.
Change the numbers and the result updates at once.
What does the result mean?
The resulting price guarantees the margin you chose on every order, before ads and fixed costs.
If the price is above the market
Cut cost or shipping first, accept a lower margin at higher volume, or sell the product in a bundle that raises its value.
If the price is below what you charge today
You have room: either more profit per order, or a bigger ad budget per order without losing money.
How is it calculated?
Selling price = (cost + shipping) ÷ (1 − payment fee rate − margin rate).
A product costing 300, with 50 shipping, 3% payment fees and a 27% target margin:
(300 + 50) ÷ (1 − 0.03 − 0.27) = 500
Profit per order: 135.
Questions
What is the difference between margin and markup?
Margin is a share of the selling price; markup is a share of the cost. A 100% markup is only a 50% margin, and mixing them up prices a product lower than you think.
Should I include ad costs in the price?
This calculator gives you the margin before ads. Then use the ad profit calculator to see how much of that margin you can spend on each order.
Which payment fees should I enter?
The rate your payment gateway or instalment provider takes from each order. If it differs by method, enter the weighted average.
Related tools
Ad profit calculator
The lowest ad return that keeps you from losing, and the most an order may cost.
Free shipping threshold calculator
A threshold that lifts the order value without eating your margin.
LTV and allowable CAC calculator
What a customer is worth over their lifetime, and what you can pay to win one.
The next step.
The result is a starting point. In the Growth Audit we compare it with your store's and campaigns' real numbers.