Wholesale Price Calculator

Wholesale pricing is the price at which goods are sold in bulk to retailers or distributors rather than directly to end consumers. Setting the right wholesale price ensures you cover all production and operational costs while earning a healthy profit margin — and still leaving room for your retail partners to mark up the product.

Wholesale vs Retail Price

The wholesale price is what a retailer pays you; the retail price is what the end consumer pays the retailer. A common rule of thumb is that the retail price is roughly 2x the wholesale price, though this varies by industry. Your wholesale price must be high enough to cover your costs and profit, yet low enough that retailers can apply their markup and still offer a competitive retail price.

The Wholesale Price Formula

The formula is Wholesale Price = Total Cost Price / (1 - Profit Margin / 100), where Total Cost Price includes not just the unit manufacturing cost, but also your share of overhead and administrative expenses spread across the number of units produced.

• Cost Price per Unit — The direct cost of manufacturing or acquiring one unit, including raw materials and direct labor.
• Overhead Expenses — Indirect costs like rent, utilities, and equipment depreciation that are allocated across all units.
• Administrative Cost — General business expenses such as office supplies, accounting, and management salaries.
• Profit Margin — The percentage of the wholesale price that represents your profit, expressed as a percentage.

How Nventory Helps

Nventory tracks your landed costs, overhead allocation, and per-unit economics in real time. When you add a new product or adjust your cost structure, Nventory can instantly recalculate your wholesale and suggested retail prices — ensuring your margins stay on target even as input costs fluctuate. With multi-channel pricing tools, you can manage wholesale and retail price lists from a single dashboard.