Calculate Perfect Product Prices
Factor in all costs, fees, and margins to find the optimal selling price that maximizes your profits while staying competitive.
Product Information
Cost Breakdown
What is the Pricing Calculator?
The Pricing Calculator helps you determine the optimal selling price for your products by factoring in all costs, platform fees, payment processing charges, and your desired profit margin. Stop guessing and start pricing strategically.
All-In Cost Analysis
Include product costs, shipping, platform fees, and payment processing to get a complete picture of your expenses.
Profit Maximization
Set your target profit margin and instantly see the price you need to charge to achieve your financial goals.
Detailed Breakdown
See exactly where every dollar goes with a comprehensive breakdown of costs and your final profit per sale.
Who Should Use This Tool?
Online Sellers
Perfect for e-commerce sellers on Shopify, Etsy, Amazon, or their own websites who need to price products profitably.
Handmade Creators
Ideal for artisans and makers who need to account for materials, time, and marketplace fees in their pricing.
Dropshippers
Essential for dropshipping businesses managing thin margins and multiple fee structures across platforms.
Product Launchers
Great for entrepreneurs launching new products who need to validate pricing before going to market.
How to Use the Pricing Calculator
Get your optimal selling price in five simple steps:
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Enter Product Cost
Input how much it costs you to buy or manufacture each unit of your product.
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Add Shipping Cost
Include the average shipping cost per unit, either to you or to your customer.
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Include Platform & Payment Fees
Enter the percentage fees from your selling platform and payment processor. Common rates are pre-filled.
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Set Target Profit Margin
Choose your desired profit margin percentage. Most products aim for 20-50% depending on the industry.
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Get Your Optimal Price
Click calculate to see your recommended selling price with a complete breakdown of costs and profits.
Frequently Asked Questions
What profit margin should I aim for?
Profit margins vary by industry. Physical products typically aim for 20-40%, while digital products can achieve 60-90%. Consider your market, competition, and business model when setting targets. Start with 30% as a baseline and adjust based on your costs and market positioning.
Should I include marketing costs in my pricing?
Marketing costs are typically covered by your profit margin rather than calculated per unit. However, if you have significant per-sale marketing costs (like affiliate commissions), you can add them to your product cost field.
How do platform fees work?
Platform fees are percentages charged by marketplaces like Etsy (6.5%), Shopify (2.9%), or Amazon (15%). These are deducted from your selling price, so they must be factored into your pricing to maintain profitability.
What's the difference between profit margin and markup?
Profit margin is the percentage of the selling price that's profit. Markup is the percentage added to cost. A 50% margin means $10 profit on a $20 sale. A 50% markup on a $10 cost results in a $15 selling price with a 33% margin.
Can I use this for service-based pricing?
Yes! Enter your time and material costs as product cost, then set your desired profit margin. This works well for freelancers, consultants, and service providers who charge per project or deliverable.
What if my calculated price seems too high?
If your price is higher than competitors, you have three options: reduce costs by finding cheaper suppliers, lower your profit margin, or differentiate your product to justify the premium price through better quality, branding, or service.
Should I round my prices?
Psychological pricing matters. Prices ending in .99 or .95 often convert better than round numbers. However, premium products may benefit from round numbers ($100 vs $99.95) to appear more high-end.
How often should I review my pricing?
Review prices quarterly or whenever costs change significantly. Supplier prices, shipping rates, and platform fees fluctuate. Regular reviews ensure you maintain profitability and stay competitive.
What about taxes?
This calculator doesn't include sales tax, which is typically added at checkout and remitted to tax authorities. Your profit margin should account for income taxes on your business profits.
Can I use different margins for different products?
Absolutely! High-demand or unique products can command higher margins (40-60%), while competitive commodity products may require lower margins (15-25%) to remain competitive.