How do you determine the optimal wholesale price? Using a Wholesale Price Calculator, of course!
Obviously, a price calculator will not give you the universal truth. But if you are new to wholesale sales – or in need of a bit of inspiration for your prices – it might help give a push in the right direction.
You can download our Free Wholesale price tool below. Just put it in your email in the form below and we will send it your way!
But first, a bit of info on the different methods commonly used to determine wholesale prices.
Different methods to calculate wholesale prices
There are a lot of different methods you can use to calculate what wholesale prices to go for. Generally, however, wholesale brands use one of the following three:
- Wholesale prices based on the value
- Wholesale prices based on competition
- Wholesale prices based on costs
Below is a brief explanation of the three methods.
For a more detailed introduction to the three methods, please read our blog post on Wholesale pricing.
Value-based wholesale prices
Calculate your wholesale prices based on your resellers’ perceived valuation of your product.
Competitor-based wholesale prices
Calculate your wholesale prices based on how your competitors put their prices.
Cost-based wholesale prices
Calculate your wholesale prices based on the costs you incur to produce your products and desired margin.
Our free wholesale price tool uses this method to determine the optimal prices.
Cost-based wholesale Price Calculator
So how do you use the calculator? Luckily, it is pretty simple:
- Put in the production cost per unit
- Insert the total overhead costs related to this product
- Add the value of any other costs associated with the production
- Fill in the number of units produced
- Finally, put in the desired markup
The calculator will now tell you what price you should be charging your wholesale customers. It’s as simple as that. Put in your email below and get started calculating those wholesale prices!