Retail pricing
From wholesale to retail price.
Enter the wholesale price, any freight per unit and either a markup or a margin. Get the retail price and the other measure.
Retail price = landed cost x (1 + markup %) or landed cost / (1 - margin %). A $24.00 wholesale cost at a 40% margin retails for $40.00, which is a 66.67% markup.
Your numbers
Result
Worked example
A retailer pays $24.00 wholesale with no freight and wants a 40% margin. Retail price = 24 / (1 - 0.40) = $40.00, so profit is $16.00 per unit and the markup on cost is 66.67%. Setting a 40% markup instead would give $33.60, which is only a 28.57% margin.
How it works
Price from landed cost, not just the invoice price. Landed cost is the wholesale price plus the per-unit freight and other costs to get the goods on your shelf. The tool then applies either a markup on that cost or a margin on the resulting retail price. This is plain arithmetic on your numbers: it does not know the manufacturer's suggested retail price, minimum advertised price rules or what your market will bear, so check those separately. For a fixed 100% markup see the keystone calculator.
Sources and basis (retrieved 2026-10): arithmetic on your inputs using the standard textbook definitions of markup (profit / cost) and gross margin (profit / price). No outside data or third-party figures are used.
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Quick reference table
| Retail margin | Retail price on $10 wholesale | Equivalent markup | Retail / wholesale multiple |
|---|---|---|---|
| 30% | $14.29 | 42.86% | 1.43x |
| 35% | $15.38 | 53.85% | 1.54x |
| 40% | $16.67 | 66.67% | 1.67x |
| 45% | $18.18 | 81.82% | 1.82x |
| 50% | $20.00 | 100.00% | 2.00x |
| 55% | $22.22 | 122.22% | 2.22x |
| 60% | $25.00 | 150.00% | 2.50x |
| 65% | $28.57 | 185.71% | 2.86x |
| 70% | $33.33 | 233.33% | 3.33x |
| 75% | $40.00 | 300.00% | 4.00x |
Common mistakes
- Pricing off the wholesale invoice and ignoring freight, duty and handling, which shrinks the real margin.
- Choosing a markup when your supplier or accountant is talking in margin. Keep one basis for the whole price list.
- Assuming every item can carry the same percentage; fast sellers often take less, slow sellers more.
- Forgetting that discounts and markdowns come off the retail price, so the margin you earn is lower than the one you set.
FAQ
How do I calculate retail price from wholesale?
Add any freight to get landed cost, then multiply by 1 plus your markup, or divide by 1 minus your target margin. Both give the same price when the percentages are converted correctly.
What is a typical retail markup over wholesale?
It varies by industry and product, so there is no single figure to rely on. Use your own costs and target margin, and compare with prices in your market.
What is the difference between wholesale and retail price?
Wholesale is what a retailer pays the supplier; retail is what the customer pays. The gap covers the retailer's costs and profit.
What is the retail price for a 50% margin?
Twice the landed cost. A $24 wholesale cost with a 50% margin retails for $48.