Cost, suggested price and margin
What each number on a product means, and how to set the rules behind the suggested price.
When you're done
Know how your suggested price is worked out, and set it to match your business.
On this page
The numbers
- Cost per item: everything that goes into one, including your time.
- Suggested price: what you'd charge to hit your target margin after fees.
- Your selling price: what you actually charge. You can set it higher or lower.
- Expected profit: selling price minus fees minus cost.
- Gross margin: profit as a share of the price. 50% means half of every sale is profit.
Set your pricing rules
Go to Help & Account > Settings and scroll to Pricing & Profitability
Pick a strategy
Target margin (% of price) or markup (% on top of cost).
Set a minimum profit per item
The suggested price goes up if profit would fall below this.
Choose rounding
Whole dollar, end at .99, or no rounding.
Add your marketplace or payment fee
Etsy, Square or PayPal fees, as a % of the price.
Click Save Settings at the bottom
Worked example: Margin vs markup on a $10 cost
| 50% target margin | $20.00 price |
| 50% markup | $15.00 price |
| 100% markup | $20.00 price |
A 50% margin and a 100% markup give the same price. Most makers find margin easier to reason about.
Was this guide helpful?
Related guides
Pricing & products
Price a product on the cost to make page
List what goes into one item. The app adds it up, suggests a price and shows your profit.
5 min read
Pricing & products
Your product catalog
Every product with its price, cost and margin, and a list of the ones that need attention.
3 min read
Account & billing
Business settings
Your logo, business details, invoice numbers, stock rules, pricing rules and email settings.
4 min read
Still stuck?
Send us a note. A real person who uses the app will get back to you.