🏭 Wholesale Price Calculator

Wholesale price is calculated as Cost ÷ (1 − Target margin). For example, at a $10 cost with a 40% target margin, wholesale price = 10 ÷ 0.6 = $16.67, with a wholesale profit of $6.67. Note the margin here is relative to the wholesale (sale) price, not the cost — simply adding 40% to cost gives a different (markup-based) result.

Keystone pricing is a long-standing retail convention that sets the retail price at 2x the wholesale price. For a $16.67 wholesale price, the recommended retail price would be $33.33. Depending on category, marketing spend, and competitive intensity, retailers may use different multipliers — 2.2x, 2.5x, or 3x for higher-touch or luxury goods, and closer to 1.5x-2x for high-volume, low-margin categories.

When setting wholesale and retail prices, also account for (1) selling platform fees (Amazon, eBay, Etsy) and payment processing fees (Stripe, PayPal), (2) shipping and returns handling costs, (3) marketing/advertising budget, and (4) competitor pricing and brand positioning — otherwise your actual net profit won't match your target margin. This calculator only covers the pure cost-to-margin formula, so pair it with a platform fee calculator to confirm your final price.