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Selling Price
Markup Amount
Markup %
Profit Margin %
Cost Price
Markup is the amount added to the cost of goods to arrive at the selling price, usually expressed as a percentage of cost. While profit margin measures what percentage of revenue is profit, markup measures what percentage above cost the business adds. A product costing ₹100 with 50% markup sells for ₹150, but the profit margin is 33% (not 50%). This distinction is critical for price setting and avoiding margin miscalculations. Retailers often think in markup terms (mark it up 40%) but should monitor margins for true profitability. In Indian wholesale and retail, markup varies by category: grocery items (15-25%), clothing (40-60%), electronics (10-20%), and luxury goods (100%+). Wholesalers offer lower markups than retailers. Understanding markup helps businesses make consistent pricing decisions across product categories and competitive situations. This calculator converts between markup and margin, helping businesses translate their pricing philosophy into actual results.
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This calculator is provided for informational and educational purposes only. While we strive for accuracy, results should be verified with official sources or by consulting qualified professionals. Tax laws, rates, and regulations are subject to change. GotRedFlags is not responsible for financial decisions made based on these tools.