Markup vs margin
Two ways to express profit on a sale: markup is profit over cost; margin is profit over selling price.
Markup and margin describe the same profit from different bases. Markup = (price - cost) / cost; margin = (price - cost) / price. A 50% markup is only a 33% margin -- confusing them is a classic way to underprice and lose money on every sale.
Skuwell's pricing rules let you set prices by target margin or markup and keep them consistent across channels. Our markup-vs-margin calculator converts between the two so you price on purpose.
Keep going.
A named set of prices you can apply to a channel, customer group, or region -- separate from your base catalog price.
Read definition → Landed costThe true total cost of a product once it reaches your warehouse -- unit price plus freight, duties, and handling.
Read definition → GMROI (Gross Margin Return on Inventory Investment)How much gross profit you earn for every dollar invested in inventory -- gross margin / average inventory cost.
Read definition →See it working on a live system.
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