Margin & Break-Even Calculator
See exactly how a price change impacts your profit margin and how many units you need to break even.
If you adopt the recommended price:
See your repricing impact
Get the full margin/profit/break-even forecast. free.
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Start Monitoring Free. 3 Products IncludedWhat is Profit Margin?
Profit margin is the percentage of revenue that remains after subtracting the cost of goods sold (COGS). It tells you how much you actually keep from each sale. A 50% margin means you keep $0.50 of every dollar in revenue.
Formula: Margin = (Price - COGS) / Price × 100
What is Break-Even Analysis?
Break-even analysis tells you the minimum number of units you need to sell to cover your costs. At the break-even point, your total revenue equals your total costs. you're not making money, but you're not losing it either.
Formula: Break-Even Units = Fixed Costs / (Price - Variable Cost per Unit)
How Price Changes Affect Profit
A small price decrease can require a significant increase in volume to maintain the same profit. For example, a 10% price cut on a product with 30% margin requires a 50% increase in units sold just to break even. This calculator shows you exactly what happens when you adjust your price.
When Should You Lower Your Price?
Lower your price when: competitors are consistently undercutting you, your product is elastic (small price changes = big volume changes), you have excess inventory, or you're entering a new market. Use Benchra Pricing to track when competitors change prices so you can respond strategically, not reactively.
When Should You Raise Your Price?
Raise your price when: competitors are out of stock, your reviews/ratings are significantly better, demand is seasonal (holiday periods), or you have exclusive products. Benchra Pricing monitors competitor inventory so you know exactly when to raise prices.