Markup & margin
Markup ≠ margin: both sides of the price
Input
Metrics
unit profit: 300 ₴
37,5%
margin
- Markup
- 60%
- Price at target margin
- 769,2 ₴
- Required markup
- 53,8%
Markup = (price−cost)/cost, margin = (price−cost)/price. 100% markup = 50% margin, 50% markup = 33% margin. For a 30% target margin, price = cost ÷ 0.7. Typical retail margin: groceries 15–25%, clothing 40–60%, accessories 60–100%.