Turn complete product cost and target margin into a selling price
The product pricing calculator helps sellers test cost-plus, markup, and margin-based prices. It is designed to expose the costs and assumptions behind a price rather than relying on an arbitrary multiplier.
Formula
Worked example
A product with a $30 complete cost and a 40% target margin requires a $50 selling price. Using a 40% markup instead would produce $42 and a margin of only 28.57%.
Build a complete unit cost first
Include materials, manufacturing, inbound freight, packaging, direct labor, marketplace deductions, payment fees, fulfillment, and expected returns where relevant.
Allocate recurring overhead separately when evaluating net profitability. The calculator's price is only as reliable as the cost base entered.
Stress-test discounts and channel fees
A price that meets margin at full retail may fail during promotions or on a higher-fee marketplace. Run separate cases for normal price, planned discount, and wholesale or marketplace channels.
Compare the result with customer value perception and competitive alternatives. Cost defines sustainability, but it does not automatically determine what customers will pay.
Product-pricing review
- Include complete landed and selling cost.
- Do not confuse markup with margin.
- Test discounts, commissions, and returns.
- Compare calculated price with market positioning.
Last reviewed September 8, 2026. This calculator provides an estimate for planning and education. Verify current rates, rules, and account-specific terms with the relevant official source.