Markup Calculator
The Markup Calculator helps you set the right prices for your products. Whether you're a retailer, manufacturer, or service provider, knowing your markup is essential for profitability.
Markup & Pricing Calculator
Set your prices to make profit
Markup Results
About Markup Calculator
The Markup Calculator helps you set the right prices for your products. Whether you're a retailer, manufacturer, or service provider, knowing your markup is essential for profitability.
Markup is the percentage you add to your cost price to determine selling price. Don't confuse it with margin — markup is based on cost, margin is based on selling price. Use this calculator to find markup, selling price, or cost price.
Markup Formulas
Markup %
(SP - CP) ÷ CP × 100
Selling Price
CP × (1 + Markup/100)
Cost Price
SP ÷ (1 + Markup/100)
Markup vs Margin — Don't Confuse Them!
Same Example: Cost ₹100, Selling ₹150
Markup = 50% (based on cost)
Margin = 33.3% (based on selling price)
Quick Conversion:
Margin = Markup ÷ (1 + Markup)
Markup = Margin ÷ (1 - Margin)
Typical Markup by Industry
| Industry | Typical Markup | Equivalent Margin | Notes |
|---|---|---|---|
| Retail Clothing | 50-100% | 33-50% | Fashion has high markups |
| Electronics | 20-40% | 17-29% | Competitive pricing |
| Restaurants | 60-80% | 38-44% | Food cost is key |
| Professional Services | 100-300% | 50-75% | Labor-based pricing |
| Wholesale | 10-20% | 9-17% | Volume-based business |
| Jewelry | 200-400% | 67-80% | Very high markup |
Important Things to Know
- •Markup is not profit — Your actual profit also depends on how many units you sell. High markup with low sales = low profit.
- •Consider your market — Too high markup may reduce sales. Too low markup may leave money on the table. Research competitor pricing.
- •Different products, different markups — You can have high markup on some items (loss leaders) and lower on others to drive traffic.
- •Include all costs — Your cost price should include shipping, packaging, overhead, and other expenses, not just the product cost.
Frequently Asked Questions
Markup is the amount you add to the cost price to determine the selling price. Formula: Markup = (Selling Price - Cost Price) ÷ Cost Price × 100. Example: Cost ₹100, Selling ₹150 → Markup = (150-100) ÷ 100 × 100 = 50%. A 50% markup means you added 50% to your cost.
Markup is based on cost price. Margin is based on selling price. Same numbers give different percentages. Example: Cost ₹100, Selling ₹150 → Markup = 50%, Margin = 33.3%. Margin tells profit per sale, markup tells how much to increase cost. Never confuse them — it can ruin your pricing.
Selling Price = Cost Price × (1 + Markup/100). Example: Cost ₹100, want 50% markup → Selling Price = 100 × 1.50 = ₹150. Use this when you know your cost and desired profit percentage.
Good markup varies by industry: Retail clothing (50-100%), Electronics (20-40%), Food/Restaurants (60-80%), Professional services (100-300%), Manufacturing (20-50%), Wholesale (10-20%). Higher markups mean higher profit but may reduce sales volume.
Cost Price = Selling Price ÷ (1 + Markup/100). Example: Selling ₹150, markup 50% → Cost = 150 ÷ 1.50 = ₹100. Useful when you know competitor's selling price and want to work backwards.
Keystone markup is doubling the cost price — a 100% markup. Example: Cost ₹50, Selling ₹100. Common in retail, especially for jewelry, gifts, and specialty items. It's easy to calculate but not always optimal for all products.
About the Markup Calculator
The Markup Calculator helps you set the right prices for your products. Whether you're a retailer, manufacturer, or service provider, knowing your markup is essential for profitability.
Formula
Reference Table
| Category | Value |
|---|---|
| Retail Clothing | 50-100% |
| Electronics | 20-40% |
| Restaurants | 60-80% |
| Professional Services | 100-300% |
| Jewelry | 200-400% |