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Calcimator

Pricing Strategy Calculator

Compare cost-plus, markup, and market-based pricing strategies. Calculate optimal price, margins, and break-even.

Inputs

$
%
$
$

Results

Cost-Plus Price

$41.67

≈ 8 cups of coffee

Markup Price$35.00
Market Price Margin50%
Profit per Unit$16.67
Break-Even Units300
Monthly Revenue$20,833.00
Monthly Profit$3,333.00
How to Use This Calculator
  1. Enter cost per unit and your desired profit margin (%).
  2. Set market/competitor price, monthly fixed costs, and expected monthly units sold.
  3. Review Cost-Plus Price, Market Price Margin (%), Break-Even Units, and Monthly Profit.
  4. Compare cost-plus and market-based prices to decide the right positioning strategy.

How the result changes with Cost per Unit

Cost per UnitCost-Plus Price
$1,000.00$1,666.67
$3,500.00$5,833.33
$6,500.00$10,833.33
$9,000.00$15,000.00

What each input means

Cost per Unit
Total variable cost to produce or acquire one unit of your product
Desired Margin
Target profit margin percentage you want to achieve on each sale
Market/Competitor Price
Average price competitors charge for a similar product or service
Monthly Fixed Costs
Recurring monthly expenses like rent, salaries, and insurance
Expected Monthly Units
Projected number of units you expect to sell each month

How this is calculated

Worked example, using the default values

  1. Identify Input Parameters
    4 parameters
    Cost per Unit = 25, Desired Margin = 40, Market/Competitor Price = 50, Monthly Fixed Costs = 5000 = 5 input(s) provided
  2. Calculate Cost-Plus Price
    Cost-Plus Price
    41.67 = $41.67
  3. Calculate Markup Price
    Markup Price
    35 = $35
  4. Calculate Market Price Margin
    Market Price Margin
    50 = 50

Engine last updated . Checked against 2 independently-derived tests how we verify calculators.

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