What's the Best Price?

Work backward from your target margin, then test whether a discount still leaves enough profit to be worth running.

Product Costs

$
$
$
#

Platform

Platform fee: Shopify Basic (2.9% + 0.30)

Margin Target

%
%

Currency

Price Works

Recommended price: $18.33

Current Margin

56.1%

Discounted Margin

48.9%

Sale Price

$25.50

Extra Units Needed

18

Price Floor

$12.67

Below this, the product goes negative after fees and shipping.

Warnings

You would need 18 extra monthly orders to offset this discount at the same profit level.

Suggestions

To hold a 30% net margin on shopify, target at least $18.33.
Your absolute floor is about $12.67 before net profit goes negative.
A 15% discount puts your sale price at $25.50 and profit per order at $12.46.

Next decision: platform

Current modeled impact: $841.50

Once the price is viable, compare the same product across channels to see where the economics are strongest.

Did this help you set a price and sanity-check your discount?

How it works

The recommended price works backward from your target net margin after shipping and platform fees. Because percentage-based fees scale with price, you cannot use a simple cost-plus markup and assume the margin will hold.

The tool also shows your minimum viable price, which is the floor where net profit drops to zero. That matters because discounts come off the top line first while your COGS, shipping, and fixed transaction fees barely move.

The final check is volume replacement. If you discount the product, the calculator estimates how many extra monthly orders you need just to get back to the same profit you were making before the promotion.

Key Terms

Related Guides

Next Decision

Keep moving through the operating model instead of treating this tool as a one-off calculation.

Compare Platforms

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