Selling / Pricing
Product Pricing Calculator: Price for a Target Margin After Fees
Work out what to charge for a product so that a target profit margin is left after the product cost, shipping, marketplace commission, card fees, and advertising, or enter a price to see the profit, margin, and markup it leaves.
Product Pricing Calculator: Price for a Target Margin After Fees: Fees charged as a share of the price grow with it, so the price is (cost + shipping + fixed fees) ÷ (1 − fee shares − margin). A 10 product with 4 of shipping and a 0.30 order fee, with 15% marketplace, 3% payment, and 10% advertising fees, needs a price of 27.50 for a 20% margin: 7.70 of fees and 5.50 of profit. Runs 100% locally in your browser with zero server file uploads.
- Category
- Business & admin tools
- Runs
- In your browser
- Cost
- Free · no sign-up
- Availability
- Ready to use
Runs entirely in your browser
| Price | Profit per unit | Margin |
|---|---|---|
| 22.00 | 1.54 | 7% |
| 24.75 | 3.52 | 14.2% |
| 27.50 | 5.50 | 20% |
| 30.25 | 7.48 | 24.7% |
| 34.38 | 10.45 | 30.4% |
Fees charged as a share of the price, such as marketplace commission, card processing, and advertising, rise with the price, so the price for a target margin is (cost + shipping + fixed fees) ÷ (1 − fees % − margin %). Margin is profit as a share of the price; markup is profit as a share of the product cost, so a 20% margin can be a much larger markup. Add sales tax or VAT on top if your prices include it.
Example
The same product sold on your own site with only a 3% payment fee and no ads needs 14.30 ÷ (1 − 0.03 − 0.20) = 18.57 for a 20% margin, almost 9 less than on the marketplace with advertising.
Exact fees
Payment providers' fixed and percentage fees differ by country and plan; check yours with the payment fee calculator.
How to use it
- Enter the product cost, shipping, and any fixed fee per order.
- Set the marketplace, payment, and advertising fees as a share of the price.
- Enter a target margin to get the price, or switch to enter a price and see the profit.
Privacy & limitations
Everything is calculated in your browser.
Related tools
Frequently asked questions
What is the difference between margin and markup?
Margin is profit as a share of the selling price; markup is profit as a share of the cost. In the example, 5.50 of profit is a 20% margin on 27.50 but a 55% markup on the 10 product cost.
Why not just add the fees to the cost?
Because percentage fees are taken from the final price: adding 28% to the cost undercharges, since the fees then apply to a higher price too.
Should I include VAT or sales tax?
Only if your prices include it: work out the price before tax here, then add the tax on top.
Free tool · runs in your browser · no account required