First month of Pro is free for early-access sign-ups. Use code FREEMONTH 🎉

Get started
Profit & margin

Markup

How much you add to cost to set price — not the same as margin.

Markup is profit as a percentage of cost, whereas margin is profit as a percentage of price. The same dollar profit gives a bigger markup number than margin number. A $60 item sold for $100 has a 67% markup but a 40% margin — mixing them up is a classic pricing error.

Formula

Markup = (Price − Cost) ÷ Cost × 100

Example: $100 price on $60 cost = 67% markup (but 40% margin).

What a good result depends on

Set markup to hit the margin you actually need after all costs.

Common mistakes

  • Quoting markup as if it were margin.
  • Setting markup on COGS alone, ignoring fees and shipping.
Free calculator
Profit Margin Calculator
Calculate it
Ask the Captain

Show my average markup vs margin by product.

Monitor it live