Start with the decision
Half-retail is a shortcut, not a check that your costs are covered. Small purchase quantities, packaging and labor can make the same discount comfortable for one product and loss-making for another. Start with your actual cost and channel charges.
Worked calculation
For unit cost 10, commission/payment fee 5%, allocated fixed fee 0.25 and a 40% target contribution margin, the price is 10.25 divided by 0.55. Round upward: the target price is 18.64.
Check a retailer quote against the target
For a target contribution margin, the available share of revenue is one minus the target share and percentage charges. Subtract fixed allocations from the revenue side before solving, and confirm that the remaining share is positive.
A retailer quote changes more than the percentage discount: pack size, label requirements, freight, payment timing and reorder quantities can all change your costs. Build the per-unit cost from materials, packaging and labor, then add any order-level setup or delivery amount using a consistent allocation. Keep your direct retail contribution visible for comparison.
Check the changed-cost scenario
Agree the quote only after checking the order terms: minimum quantity, deposit, delivery window, damaged goods and payment due date. Those details affect cash and risk even when they do not appear in a basic margin formula. Treat the calculator’s threshold as one input to negotiation, not a recommendation about what a retailer will accept.
| Input or result | Value |
|---|---|
| Unit cost / allocated fixed fee | 10 / 0.25 |
| Percentage fees / target margin | 5% / 40% |
| Share available for costs | 55% |
| Upward-rounded target price | 18.64 |
| Contribution at quote 20 | 8.75 / 43.75% |
Half of an illustrative retail price of 30 is 15, below the target threshold in this case. A retailer may negotiate quantity, packaging and payment terms; rerun the costs for that exact order instead of assuming a wholesale discount creates a viable margin.
Use the example with your own inputs
Compare your proposed quote with that threshold, then consider order quantity, lead time and terms separately. The calculator does not model retailer demand or payment collection risk.
Wholesale Price & Margin Calculator | PourMarginScope and source checks
These are planning examples, not actual seller results. Keep currency, tax basis and cost allocation consistent. Enter your own figures and reconcile with your records; tax, demand, refunds and unlisted business costs can change the outcome.
See more pricing examples and assumptions.