Value Based Pricing Calculator
Price from the value delivered, not the cost incurred.
Time saved, waste avoided, revenue gained — quantified.
Value-based price
$117.50
capturing 35.0% of the value created
Capturing all the value leaves the buyer indifferent, so they will not switch. Leaving a visible share with them is what makes the case.
How the Value Based Pricing Calculator works
Value-based pricing starts from what the product is worth to the buyer rather than what it cost to make. It captures far more margin where the value is quantifiable — and requires evidence, because you are asking buyers to accept a price their cost intuition does not explain.
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 do I calculate economic value to the customer?
The next-best alternative's price, plus the value of your differentiation, minus any disadvantages. If a rival costs £100 and yours saves £60 of labour, the economic value is £160 even if it costs £20 to make.
How much of the value should I capture?
Typically 20-50%. Capturing all of it leaves the buyer indifferent, so they will not switch. Leaving a visible share of the gain with the customer is what makes the case persuasive.
Does this work for consumer products?
Harder, because the value is emotional rather than calculable. It works through brand, design and identity instead — which is why premium consumer goods invest so heavily in positioning rather than cost reduction.
What is the risk of value-based pricing?
That the value you believe you deliver is not the value the buyer perceives. Without evidence — case studies, comparisons, guarantees — a high price with no cost explanation reads as opportunism.