keencalculator
  1. Home
  2. Business & Sales
  3. Wholesale Price Calculator

Wholesale Price Calculator

Price a product for selling through shops. Enter what one unit costs you to make, the markup you take as the maker and the markup the retailer will add. You get the wholesale price, the suggested retail price, your profit per unit and the margin each side keeps.

Quick examples
$

Materials, labor, packaging and a share of overhead.

%

100% doubles your cost.

%

100% is “keystone”: the shop doubles the wholesale price.

Your numbers stay in your browser. Nothing is uploaded.
Wholesale price$20.00
Suggested retail price
$40.00
Your profit per unit
$10.00
Your margin
50%
Retailer’s margin
50%

Saved setups

Save a set of inputs you reuse — your usual rate, your loan, your room sizes — and load it back in one tap.

    Your recent calculations

    Results you calculate here are kept on this device so you can come back to them.

      Formula

      Wholesale price = cost × (1 + wholesale markup ÷ 100)
      Retail price = wholesale price × (1 + retailer markup ÷ 100)
      Your margin % = (wholesale price − cost) ÷ wholesale price × 100
      Retailer’s margin % = (retail price − wholesale price) ÷ retail price × 100

      How to use it

      1. Enter your full cost per unit: materials, labor, packaging and a share of overhead.
      2. Enter the markup you add to reach the wholesale price.
      3. Enter the markup retailers in your market apply.
      4. Check that the retail price is one shoppers will actually pay.

      Worked examples

      A product that costs $10 to make, doubled for wholesale and doubled again for retail

      Wholesale price
      $20.00
      Suggested retail price
      $40.00
      Your profit per unit
      $10.00
      Your margin
      50%
      Retailer’s margin
      50%

      A $7.50 cost with a 60% wholesale markup and a 120% retailer markup

      Wholesale price
      $12.00
      Suggested retail price
      $26.40
      Your profit per unit
      $4.50
      Your margin
      37.5%
      Retailer’s margin
      54.55%

      Keystone pricing

      The traditional starting point is to double at each step: cost × 2 = wholesale, wholesale × 2 = retail. A product that costs $10 to make wholesales at $20 and retails at $40. Each doubling is a 100% markup, which is a 50% margin.

      Retailers expect that 50% margin as a minimum in many categories, and some — department stores, gift shops, galleries — want more. If your retail price cannot support it, the product will be hard to place in shops.

      Work backwards from the shelf price

      It is often better to start with the retail price the market will bear and divide down. If similar products sell for $40 and retailers want a 50% margin, your wholesale price is $20, and your own cost needs to be around $10 or less to leave you a 50% margin.

      If you also sell direct at full retail, keep your own price at or near the suggested retail price so you do not undercut the shops that stock you.

      Questions people ask

      How do I calculate a wholesale price?

      Multiply your cost per unit by 1 plus your markup. With a $10 cost and a 100% markup the wholesale price is $20.

      What is keystone pricing?

      Setting the retail price at double the wholesale price — a 100% markup and a 50% retail margin.

      How much lower should wholesale be than retail?

      Typically about half. Most retailers need a margin of around 50% of the retail price to cover rent, staff and unsold stock.

      Related calculators

      Markup CalculatorSelling price from cost and markup, with the margin it really gives.Profit Margin CalculatorMargin, markup and profit from cost and price — or solve for either.Break-Even CalculatorUnits and revenue needed to cover your costs.Discount CalculatorSale price and savings, with a stacked second discount and tax.Unit Price CalculatorCompare two or three sizes by price per unit to find the best buy.