title: Wholesale Price Calculator description: Calculate profitable wholesale pricing for your Shopify store. Set competitive discounts, define MOQs, and project profit for bulk orders.
What Is Wholesale Pricing?
Wholesale pricing is the discounted rate you offer to businesses, such as retailers, boutiques, or other bulk buyers, who purchase your products in larger quantities for resale or distribution. This strategy allows you to tap into new markets and scale your business by leveraging your partners' sales channels. It requires a distinct pricing model from your direct-to-consumer (DTC) retail strategy, balancing attractive margins for your buyers with sustainable profitability for your own Shopify store.
Setting the right wholesale price ensures your partners can make a healthy profit selling your goods, while you generate consistent revenue from volume sales. This approach allows you to expand brand reach, increase production efficiency, and reduce customer acquisition costs compared to solely relying on DTC sales.
Wholesale Pricing Formulas
Calculating your wholesale price involves understanding the relationship between your retail price, desired discount, and underlying costs.
Wholesale Price (per unit)
Wholesale Price = Retail Price × (1 - Wholesale Discount %)
**Minimum Order Value (MOV)**
Minimum Order Value = Wholesale Price × Minimum Order Quantity (MOQ)
**Wholesale Profit (per unit)**
Wholesale Profit Per Unit = Wholesale Price − Product Cost − Shipping Per Unit − (Order Transaction Fee / MOQ)
> The order transaction fee in the profit formula accounts for payment processing fees (e.g., Shopify Payments percentage + fixed fee) applied to the total wholesale order value, then distributed across each unit in that order.
---
## How to Use This Calculator
This Free Wholesale Price Calculator for Shopify helps you quickly determine optimal wholesale pricing, profit margins, and revenue projections. Follow these steps:
1. **Enter your retail price**: Input the `retailPrice` – this is the price your direct-to-consumer customers pay on your Shopify store.
2. **Define your product cost**: Provide the `productCost`, which is your Cost of Goods Sold (COGS). This includes what you pay to source or manufacture the product.
3. **Set your wholesale discount**: Input the `wholesaleDiscount` as a percentage. This is the amount off your retail price you offer to wholesale buyers. Aim for the industry standard of 40-50% off retail.
4. **Specify your minimum order quantity (MOQ)**: Enter the `moq` – the smallest number of units a wholesale buyer must purchase in a single order.
5. **Estimate shipping per unit**: Add your `shippingPerUnit`. This is the average shipping cost for one unit when sent as part of a bulk wholesale order, which is often lower than DTC shipping due to efficiencies.
6. **Account for transaction fees**: Input your `transactionFee` percentage. This is the payment processing fee for wholesale orders (e.g., 2.9% for Shopify Payments, potentially lower for invoiced orders). The calculator will apply this to the total order value and then factor it into per-unit profit.
7. **Project monthly orders**: Enter `monthlyOrders` to estimate how many wholesale orders you anticipate receiving each month. This helps project your monthly revenue and profit.
> Hover over the **?** icon next to each field for a detailed explanation of what to enter.
---
## Step-by-Step Example
Let's say you sell a "Signature Blend Coffee Bag" on your Shopify store. Here’s how you can set its wholesale pricing:
| Item | Value | Calculation / Notes |
| :----------------------------------- | :------- | :----------------------------------------------------------------------------- |
| **Retail Price** | **$25.00** | Price to DTC customers |
| Product Cost (COGS) | $7.00 | Cost to source/roast each bag |
| Wholesale Discount | 50% | Industry standard |
| MOQ (Minimum Order Quantity) | 12 units | Minimum order for wholesale partners |
| Shipping Per Unit (wholesale) | $1.50 | Lower bulk shipping rate per bag |
| Transaction Fee (order) | 2.9% + $0.30 | Applied to total wholesale order value |
| Estimated Monthly Orders | 10 | Target for wholesale channel |
| | | |
| **1. Wholesale Price per Unit** | **$12.50** | $25.00 × (1 - 0.50) |
| **2. Total Order Value (MOV)** | **$150.00** | $12.50 × 12 units |
| **3. Order Transaction Fee** | **$4.65** | ($150.00 × 0.029) + $0.30 |
| **4. Transaction Fee per Unit** | **$0.39** | $4.65 / 12 units (rounded) |
| **5. Total Wholesale Cost per Unit** | **$8.89** | $7.00 (COGS) + $1.50 (Shipping) + $0.39 (Trans. Fee) |
| **6. Profit per Unit (Wholesale)** | **$3.61** | $12.50 (Wholesale Price) - $8.89 (Total Cost) |
| **7. Total Profit per MOQ Order** | **$43.32** | $3.61 × 12 units |
| **8. Projected Monthly Revenue** | **$1,500.00** | $150.00 (MOV) × 10 orders |
| **9. Projected Monthly Profit** | **$433.20** | $43.32 (Profit per MOQ) × 10 orders |
In this example, your wholesale partners can purchase your coffee bags for $12.50 each, allowing them to mark it up for retail. You make a healthy $3.61 per bag after all direct costs and fees, securing a total of $43.32 profit for every 12-unit order, contributing over $400 to your monthly profit at your projected order volume.
---
## Strategic Wholesale Pricing: Beyond the Standard Discount
While a 50% wholesale discount (often called keystone pricing in reverse) is a common starting point, a truly strategic approach involves understanding your margins deeply and potentially offering tiered structures. Your wholesale price isn't just a number; it's a negotiation tool and a reflection of your brand's value.
For unique or high-margin products, you might start with a 40-45% discount, especially if your retail price already allows for healthy profit. Conversely, for highly competitive or volume-driven products, a 50-60% discount might be necessary to attract buyers. Always use our [Keystone Pricing Calculator](/tools/keystone-pricing-calculator) to compare the profitability of a standard 2x markup versus a custom percentage, ensuring your wholesale price allows for adequate retailer margins while protecting your own.
Consider implementing a tiered pricing structure where larger orders receive deeper discounts. For example, a 12-unit order gets 45% off, a 24-unit order gets 50% off, and a 48-unit order gets 55% off. This incentivizes buyers to commit to higher volumes, increasing your average order value (AOV) and reducing per-order processing costs. Our [Tiered Pricing Calculator](/tools/tiered-pricing-calculator) can help you model these scenarios and see the impact on your margins at each level. By offering a Manufacturer's Suggested Retail Price (MSRP) to your retailers (which you can calculate with our [MSRP Calculator](/tools/msrp-calculator)), you can guide their pricing strategies, maintaining brand value and consistency across channels.
---
## Wholesale Discount & MOQ Benchmarks
Wholesale discounts and Minimum Order Quantities (MOQs) vary significantly by industry and product type. These benchmarks serve as a guide, but your specific costs and market positioning should always inform your final decision.
| Industry / Product Type | Typical Wholesale Discount | Common MOQ Range |
| :---------------------- | :------------------------ | :--------------- |
| **Apparel & Fashion** | 50-60% off retail | 6-24 units per style/color |
| **Beauty & Skincare** | 40-55% off retail | 6-12 units per SKU |
| **Home Goods & Decor** | 45-50% off retail | 4-12 units per item |
| **Jewelry & Accessories** | 50-65% off retail | 3-6 units per design |
| **Gourmet Food & Beverage** | 30-45% off retail | 12-48 units (cases) |
| **Handmade & Artisan** | 35-50% off retail | 3-10 units per item |
| **Electronics** | 20-40% off retail | 1-5 units (higher value) |
A higher MOQ typically allows you to offer a slightly deeper discount while still maintaining profitability, as it spreads fixed costs (like order processing and the fixed portion of transaction fees) over more units. Conversely, if your product has a very high retail price or exceptional demand, you might get away with a lower discount and smaller MOQ.
---
## 7 Tips to Optimize Your Shopify Wholesale Strategy
1. **Implement Tiered Pricing:** Use volume-based discounts to incentivize larger orders. For example, offer 40% off for 10-20 units, 45% for 21-50 units, and 50% for 51+ units. This drives higher average order values and rewards your best partners.
2. **Streamline Wholesale Shipping:** Negotiate bulk shipping rates with carriers or use third-party logistics (3PL) providers specialized in B2B fulfillment. Clearly communicate your wholesale shipping policies and costs upfront to avoid surprises.
3. **Define Clear Terms & Conditions:** Establish a comprehensive wholesale agreement covering MOQs, payment terms, return policies, and any MSRP guidelines. Display this clearly on your wholesale portal or send it with your first invoice.
4. **Leverage Shopify B2B or Wholesale Apps:** If you're on Shopify Plus, utilize the built-in B2B channel for custom pricing, payment terms, and company profiles. For other plans, explore apps like Wholesale Club, Wholesale Gorilla, or Handshake to manage wholesale orders and pricing efficiently.
5. **Focus on Marketing to Wholesalers:** Don't just wait for buyers to find you. Create a dedicated wholesale catalog, attend trade shows (virtual or in-person), and use targeted LinkedIn ads or email campaigns to reach potential retail partners.
6. **Bundle Products for Increased AOV:** Create curated wholesale bundles or collections (e.g., "Best-Selling Starter Pack") that offer retailers a convenient way to order a variety of your products, naturally increasing their order size and your profit per order.
7. **Regularly Review Your Pricing & Costs:** Revisit your `productCost`, `shippingPerUnit`, and `transactionFee` inputs quarterly. Supplier price changes, new shipping rates, or updated payment processor fees can quickly erode your wholesale margins if not accounted for. Adjust your wholesale pricing as needed to maintain profitability.
---
## Frequently Asked Questions
### What is wholesale pricing?
Wholesale pricing is the discounted price you offer to retailers, boutiques, or bulk buyers who purchase your products in large quantities. Wholesale prices are typically 40-50% below retail, allowing buyers to resell at a profit while you still earn a margin on volume. This strategy helps Shopify stores expand their reach and scale production.
### What is a good wholesale discount off retail?
The industry standard wholesale discount is 50% off retail (often referred to as keystone pricing in reverse). However, a range of 40-50% off is common depending on your product margins and market. The key is ensuring your wholesale price still covers your cost of goods, shipping, and fees, leaving you with a sustainable profit margin of at least 15-25% per unit.
### What is MOQ in wholesale?
MOQ stands for Minimum Order Quantity — the smallest number of units a wholesale buyer must purchase per order. MOQs protect your margins by ensuring each transaction generates enough revenue to justify the wholesale discount. Common MOQs vary by product and industry, typically ranging from 6 to 48 units.
### How do I calculate my wholesale price?
You calculate your wholesale price using the formula: Wholesale Price = Retail Price × (1 - Wholesale Discount %). For example, a $50 retail product with a 50% wholesale discount would have a $25 wholesale price. Always ensure this calculated wholesale price is significantly above your product cost, shipping per unit, and per-order transaction fees to maintain profitability.
### Can I sell wholesale on Shopify?
Yes, Shopify fully supports wholesale operations. You can achieve this through the dedicated Shopify B2B channel (available on Shopify Plus plans), by utilizing third-party wholesale apps like Wholesale Club or Handshake, or by setting up a separate, password-protected wholesale storefront. This calculator helps you determine the optimal wholesale pricing regardless of your chosen sales channel.
---
## About This Calculator
This Wholesale Price Calculator was built specifically for Shopify merchants by [Luis Dev Studio](/about-us). It provides real-time insights into per-unit profit, minimum order value, and monthly projections, factoring in essential e-commerce costs. Results update instantly without page reloads or sign-ups.
Need help integrating wholesale channels or optimizing your store's profitability? [Get in touch](/contact) for expert Shopify development and strategy assistance.