How the calculator works
- From a markup: price = cost × (1 + markup). A 40% markup on $12.00 is $16.80.
- From a target margin: price = cost ÷ (1 − margin). A 40% margin on $12.00 is $20.00.
- From a price: profit = price − cost, markup = profit ÷ cost, and gross margin = profit ÷ price.
The price is rounded to the precision you choose, and the markup and margin are then worked out from the rounded price, so they match what you would actually charge. The calculation uses exact decimal arithmetic in your browser. Nothing you type is sent to BLZN Works or stored.
Markup or margin: which one should you use?
Use whichever matches how you think about pricing, but be sure which one you mean. A 40% markup gives a 28.57% margin, and a 40% margin needs a 66.67% markup. The guide to Shopify markup vs margin has a full conversion table and shows what discounts, rounding and price endings do to your margin.
Pricing a whole supplier price list
This calculator is for one product at a time. To apply the same rule to every SKU in a supplier CSV, review the changes and build a Shopify import file, follow the guide to updating Shopify prices from a supplier CSV, or try Supplier Update Guard below.