Free tools / Wholesale price
Wholesale and retail price calculator.
There are two margins in every wholesale price: yours, and the one your customer needs to make when they sell it on. Get either wrong and the product does not move. This shows both, in both directions.
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VOLUME TIERS
The price ladder
A product climbs three rungs: what it costs you, what you sell it for, and what your customer sells it for. Each step up is somebody’s margin.
retail = wholesale ÷ (1 − your customer’s margin)
Cost 60, your margin 40%, wholesale 100. Your customer needs 50%, so the shelf price is 200. That is 3.3 times your cost, which surprises people who expected “double it” to be enough.
Working back from the shelf
Often the market sets the shelf price and you do not. Then the sum runs the other way: take the shelf price, remove your customer’s margin, and what is left is the most you can charge. Compare that with your cost. If the gap is thin, the answer is a cheaper source or a different product, not a hopeful price.
Volume tiers
A discount for quantity is only worth giving if the margin that is left still pays. The tier table shows the price and your margin at each step, against your floor, so you can see the tier you should not offer before a customer asks for it.
Questions
Is a 50% retail margin the same as “keystone”?
Yes. Keystone pricing means the retailer doubles the wholesale price, which is a 100% markup and a 50% margin.
Should I use my purchase price or my landed cost?
Landed cost. Freight and duty are part of what the goods cost you, and leaving them out is how a healthy-looking margin turns out thin.
Does this include tax?
No. Work before sales tax or VAT throughout, because tax you collect is not yours.
Is my data sent anywhere?
No. The sums are done in your browser.
OrbisVendor does not yet apply a customer’s own prices or quantity breaks when a quote is priced: a line starts at the product’s price and you adjust it. That is why this tool stands alone.
Want the margin on every quote line?
OrbisVendor shows margin on each quote line to the people allowed to see cost, against a floor you set.
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