Profit Margin & Markup Calculator
Compare profit margin and markup for products or batches using landed unit cost and expected selling price.
Two percentages answer different questions
Margin compares gross profit with the sale price. Markup compares the same gross profit with the cost. They are not interchangeable, even though both are often described as a profit percentage.
Work through a 20% example
With unit cost 80 and sale price 100, gross profit is 20, margin is 20% and markup is 25%. To obtain a 20% margin on cost 80, price is 80 divided by 0.8, or 100. A 20% markup would instead set the price at 96.
Include the landed cost you actually bear
Use the inbound-cost field when transport or duties should be included in the stock cost. Allocation can follow units, purchase value or weight. Compare the resulting landed cost before deciding whether a quoted retail or wholesale price is attractive.
Keep the scope clear
The table shows potential stock gross profit if all units sell. It does not automatically deduct marketplace fees or operating overheads. For a sold event batch, move the actual quantities, cost and realised selling prices into Card show.
Common questions
Why is markup bigger than margin on a profitable item?
Its denominator is the lower cost amount rather than the higher sale amount.
What happens if cost is zero?
The markup is undefined and displayed as a dash. A positive selling price can still have a 100% gross margin.
Revenue is only half the story.
Check your platform payout, compare a card offer, or calculate costs and earnings for any product batch or selling event.