Simple Excel Markup and Margin Tool

Margin calculations.

Want to get a handle on Pricing, Markup and Margin?

Are you not sure which method to use for your pricing structures?  How would they compare?

Markup and Margin are often used interchangeably.

But, they are not the same thing.

This leads to confusion when comparing suppliers.

Markup Definition

Markup = The percentage of your cost you add to your cost to determine your price to the customer.

e.g. Cost = £10.  10% markup = £1.  Price to customer  = £10 + £1 = £11

Margin Definition

Margin = The percentage difference between your cost and the price to your customer as a percentage of the price.

e.g. Cost = £10. Price to customer = £11.  Margin = (11-10) / 11 = 9%

A simple-to-use, neat, Markup and Margin Excel Tool

The Simple Markup and Margin Excel Tool  from Working Data:

Calculates Markup from Margin, and Margin from Markup.

Compare and Contrast the two methods.

See how different markups and margins affect your final prices.

Save yourself time by automating your Markups and Margins.

Reusable & 100% Money Back Guarantee (30 days from date of purchase)

Know your Costs and Markup? Now Calculate Price and Margin

If you know your costs and what markup you want to apply, this is the section for you.  Add your markup percentage in the top right box, then add each product’s cost and let the Excel Tool calculate your price and margin!

Know your Costs and Margin?  Now Calculate Price and Markup

If you know your costs and what margin you want to apply, this is your section.  Add your margin percentage then add the cost to each row and let the Excel Tool calculate your price and markup!

Know your Costs and Prices?  Now Calculate Margin and Markup

If you know your costs and what prices you want to charge the third section is for you.  Enter your cost and price per item and watch as the Excel Tool automatically calculates your markup and margin!

Some further information on the subject

As you can see, markup and margin are not the same.

100% markup is equivalent to 50% margin.

However, ‘markup’ and ‘margin’ are often used interchangeably. This is usually done quite innocently, but can lead to stressful confusion when trying to compare suppliers and products. The Markup & Margin Excel Tool will help you overcome this problem. You can set your pricing by markup or margin, or start with your cost and price and calculate back to your markup or margin. If one supplier is talking to you in markup and the other in margin, enter their data into the Excel Tool to compare like-for-like. Set your pricing policy and set prices accurately, quickly and simply.

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