Purchase price went up: how much do you need to raise your price?
If your purchase price rises by 10%, keeping everything else the same lowers your contribution from €4.95 to €3.87 per order. To keep the same profit in euros, the example product needs €41.77 instead of €39.99; to keep the same margin in percent, €42.23.
Enter your new costs and your target margin – the calculator shows the price you need.
Open the profit calculatorTwo goals, two prices
Decide first what you want to protect. Keeping the profit per order in euros is the minimum to avoid earning less on every sale. Keeping the margin in percent also passes your margin on to the higher costs – the price rises more, but your profit grows with your costs.
- Same profit per order (€): the smallest price increase that fully covers the higher cost.
- Same margin (%): the price for your previous margin – the calculator's “target margin” field.
Why “+10 % cost = +10 % price” is wrong
The purchase price is only part of the price. Shipping, advertising and fixed fees do not rise with it, while percentage fees and VAT do rise with the selling price. The right increase therefore depends on your whole cost structure – in euros it is usually more than the cost increase because fees and VAT are added on top, in percent it is usually less.
How to raise prices without losing customers
The calculation tells you the minimum. How you communicate it matters as much:
- Raise prices in one step instead of several small ones.
- Round to familiar price points (e.g. 44.99 instead of 44.37).
- Check whether a smaller increase plus lower shipping or ad costs reaches the same contribution.
- Watch conversion and returns for a few weeks after the change and compare the total contribution.
Worked examples: Purchase price +10% on a €39.99 product
Purchase price €12.00 → €13.20, everything else unchanged: 15 % marketplace fee, shipping €4.50, €3.00 ads, 10 % returns, 19 % VAT.
- Contribution before
- €4.95
- Contribution with new cost, old price
- €3.87
- Price to keep the profit per order (€)
- €41.77
- Price to keep the margin (%)
- €42.23
- Increase needed (same profit)
- 4.5%
A 10% higher purchase price needs a 4.5% higher selling price just to earn the same per order.