Pricing
Wholesale Pricing Calculator
Set wholesale price, retail price, and MOQ revenue from unit cost and overhead using cost-plus, keystone, or target-margin strategies.
Result
Healthy — strong wholesale margin above 50%.
Price tier comparison
Landed cost to wholesale to recommended retail.
How to use it
- Enter unit cost, overhead per unit, pricing strategy, wholesale markup or target margin, retail markup, and MOQ. Landed cost should include packaging, storage, fulfillment prep, and any per-unit overhead the buyer deal will actually consume.
- Read the recommended wholesale price, landed cost, keystone retail price (2× wholesale), recommended retail price at your retail markup, wholesale margin, and the revenue and gross profit on a minimum order; the chart lines up landed cost, wholesale, and retail. Wholesale gross margins around 40-60% are usually healthy, while anything below 30% is thin and vulnerable to chargebacks, returns, or freight surprises.
- Interpret the wholesale price in channel context. If the resulting retail price leaves the buyer less than about a 2x markup path, sell-through becomes harder and retailers will either resist the line or demand concessions later.
- Use the output to set line-sheet prices, choose between cost-plus, keystone, and target-margin strategies, and negotiate MOQ. Never quote at or below landed cost just to win placement, because a low-margin wholesale account can create revenue with almost no contribution.
- Re-run when COGS, freight, retailer terms, or pack-out changes. Track landed cost and wholesale margin by SKU over time because a single slow-moving, thin-margin product can turn a seemingly good account unprofitable.
Questions people usually ask
What is wholesale pricing?
Wholesale pricing is the price a manufacturer or brand charges a retailer or distributor for bulk purchases. It is typically lower than the retail price to give the reseller a margin. Wholesale price is usually set at 2–3× the landed (production + overhead) cost.
What is keystone pricing?
Keystone pricing sets the wholesale price at 2× landed cost, and the retail price at 2× wholesale — so the retail price is 4× your cost. It's a simple industry-standard rule of thumb for consumer goods and handmade products.
What is the difference between margin and markup?
Markup is profit divided by cost. Margin is profit divided by selling price. A 100% markup on a $10 cost gives a $20 price and a 50% margin. Both describe the same profit in different terms — which you use depends on what your buyer or accountant asks for.
What is a good wholesale margin?
40–60% gross margin on wholesale revenue is generally healthy for physical product businesses. Below 30% is considered thin and may not survive returns, discounts, or freight surprises.
What is MOQ?
MOQ (Minimum Order Quantity) is the smallest number of units a buyer can order per transaction. A higher MOQ improves your per-unit economics by spreading fixed overhead, but increases the barrier for new buyers.
Is this tool free and private to use?
Yes. AI Biz Hub tools run entirely in your browser with no signup required. Inputs stay local unless you share the URL.
Is this financial advice?
No. Outputs are planning estimates only. For pricing strategy tied to contracts, export compliance, or distribution agreements, consult a qualified business advisor.
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Background on the Wholesale Pricing Calculator
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- Examples Wholesale Pricing Examples
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Use it from code
The same calculation as a JavaScript module you can import. It runs where you import it, with no request, key or rate limit.
import { compute } from "https://aibizhub.io/engines/wholesale-pricing-calculator.js"; Input and output contract, TypeScript types and the guide for agents.