Margin Based Price Calculator
Price set by the margin you need, fees included.
Selling price
$36.36
45.0% margin
How the Margin Based Price Calculator works
Pricing from margin runs the calculation in the direction that matters: start from what the business needs to keep, and derive the price that delivers it. Everything else is working forwards and hoping.
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
What is the margin-based pricing formula?
Price = cost ÷ (1 − target margin). Include percentage fees in the denominator too: cost ÷ (1 − margin − fee rate), because those fees scale with the price you are solving for.
How do I decide the target margin?
Work back from fixed costs and the profit you want at a realistic volume. A margin chosen because it sounds right is a guess; one derived from what the business must cover is a requirement.
Should different products carry different margins?
Usually. Fast-moving lines can run thinner because volume compensates; slow movers need more to cover the capital they tie up. A single blanket margin across a catalogue leaves money on some products and prices others out.
What if competitors price below my margin-based figure?
Then either your costs are higher or their margins are thinner. Find out which before reacting — matching a competitor who is quietly losing money is not a strategy.