How do I set a wholesale price for shops that buy from me in bulk?
Enter the unit cost, each unit's share of the delivery cost, no percentage fee if the shop pays by bank transfer, and a margin below your retail one. A unit costing 40 with a delivery share of 3 and a 15% margin has a wholesale price of 50.59, while the same piece sells retail at 94.83.
What changes in a wholesale calculation
When a shop takes twenty pieces at once, three things change. First, there is no marketplace commission, and often no card fee if payment is by transfer. Second, delivery is paid once for the whole order, so each piece's share is small. Third, the shop has to make money when it resells, so your margin has to be lower.
Step by step
- Divide the delivery cost of an order by the usual number of pieces. Delivery costing 60 for a 20-piece order is 3 per piece.
- In the Selling-price calculator, enter the unit cost and 3 as shipping.
- Leave the percentage fee empty if the shop transfers the money, or enter the rate of whatever method they pay with.
- Pick the wholesale margin you accept and read the price.
Wholesale: cost 40, delivery share 3, no fees, margin 15%: price 50.59, profit 7.59 per piece.
Retail for the same piece: shipping 15 per order, commission 12%, margin 30%: price 94.83.
The lowest wholesale price with no loss: 43.
The gap between the two is the shop's room
A shop buying from you at 50.59 must sell at a price that covers its rent, staff and profit. If your own retail price on a marketplace is 94.83, the gap between the two is the room the shop has to work in. If it is tight, the shop ends up competing with you at a price that does not pay, which strains the relationship. If it is very wide, you may be able to nudge the wholesale price up.
Tiers by quantity
For quantity breaks, solve again for each tier with the delivery share that fits it. An order of five pieces carries a bigger share of delivery than one of fifty, so its price has to be higher to keep the same margin. Once the prices settle, send them to the shop as a tidy quote with the Quotation generator, showing quantity and price per tier.
Common questions
Does the calculation include VAT?
No, it is a pre-tax price. If you charge the shop tax, add it at the rate you enter on the quote or invoice.
The shop pays a month later. Does that matter?
The tool does not price in waiting. If the delay costs you financing, estimate that cost per piece and add it to shipping or cost.
