/ /Retail Price Calculator
Retail Price Calculator
Calculate the ideal retail price from your wholesale cost and target margin. Compares against competitor pricing and shows tax-inclusive shelf price so your retail price protects margin and stays competitive.
Retail Price Inputs
Wholesale Cost per Unit ($)
Target Profit Margin (%) Typical retail margin 40-60%
Competitor Price ($) Optional benchmark to compare against
Sales Tax Rate (%)
Retail Price Results
Wholesale Cost$25.00
Target Margin50.0%
Suggested Retail Price$50.00
Profit per Unit$25.00
Markup Equivalent100%
Price incl. Tax$54.00
vs Competitor+0.0%
Pricing recommendation: Set your retail price at $50.00 to earn a 50.0% margin (100% markup). Priced above the competitor — justify with brand, bundle, or service.
Related Ecommerce Calculators
Authoritative References
Frequently Asked Questions
How is retail price calculated from wholesale cost?
Retail Price = Wholesale Cost / (1 - Target Margin). With a $25 cost and 50% target margin, retail is $25 / 0.50 = $50. This margin-based formula guarantees the margin is measured on the selling price, which is how retailers report profitability.
What is the difference between retail margin and markup?
Margin is profit as a share of the selling price, while markup is profit as a share of cost. A 50% margin equals a 100% markup (keystone). Retailers buy on markup thinking but report on margin, so always convert: Margin = Markup / (100 + Markup) x 100.
What is a good retail margin for ecommerce?
Healthy ecommerce retail margins run 40-60% for apparel and home goods, 25-40% for electronics, and 60-80% for beauty. After marketplace fees and ad spend, aim for at least 40% gross retail margin so 10-20% net margin remains.
Should I use psychological pricing like $49.99?
Charm pricing ($49.99 instead of $50) lifts conversion 5-15% in most categories, while prestige brands often prefer round numbers. Calculate the exact margin price first, then round to the nearest charm or round price and re-check margin.
What is MAP and how does it affect retail pricing?
Minimum Advertised Price (MAP) is the lowest price a brand allows retailers to advertise. Pricing below MAP can cost you supply. Always check supplier MAP policies before discounting, and compete on bundles or service instead of advertised price when MAP binds.