Cost Plus Pricing Calculator
Price from cost and a target markup.
Include freight, packaging and per-unit fees, not just the purchase price.
Selling price
$19.20
37.5% margin
Cost-plus knows nothing about demand. Use it as a floor and check it against what the market actually pays.
How the Cost Plus Pricing Calculator works
Cost-plus pricing takes what a unit costs you and adds a fixed percentage. It is simple, defensible and fast across a large catalogue — and its blind spot is that it knows nothing about what buyers are willing to pay, or what competitors charge.
Not financial advice. Marketplace fees change, and they vary by country, plan and seller status. Every rate here is an editable default, not a quoted price — check the platform's current fee schedule before you price a product against it. This is not tax or business advice.
Frequently asked questions
How does cost-plus pricing work?
Price = unit cost × (1 + markup). A £12 unit cost with a 60% markup gives £19.20. The critical part is that the unit cost must include everything variable — materials, freight, packaging, fees — not just the purchase price.
What markup should I use?
Work backwards from the margin you need. If you want a 45% margin, apply an 81.8% markup. Picking a markup first and hoping the margin lands somewhere acceptable is how businesses discover they have been underpricing for a year.
What is wrong with cost-plus pricing?
It ignores demand entirely. If buyers would happily pay double, cost-plus leaves that money behind; if competitors sell for less, cost-plus prices you out. It is a sound floor, not a strategy.
When is cost-plus the right approach?
Large catalogues where individual price research is impractical, wholesale relationships where transparent pricing matters, custom work where each job has a different cost base, and any situation where you need a defensible price quickly.