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Discount & Margin Calculator

A discount looks small on the price tag — but it comes straight out of your profit. Enter your price, cost and the discount you want to give. You'll instantly see the margin you keep, and the one number most people miss: how many extra units you must sell just to break even on that discount. Free, no sign-up, works on your phone.

How this calculator works
  1. Net price. List price minus the discount — what the customer actually pays.
  2. Gross margin. Net price minus unit cost (COGS), shown in money and as a percentage of the selling price.
  3. The break-even volume. A discount shrinks the profit on every unit. To earn the same total profit you now have to sell more units — this tool shows exactly how many percent more.
  4. Loss warning. If the discount pushes the price below your cost, the result turns red — you'd lose money on every sale.

Profit per unit — before vs. after the discount

Cost (what you pay to buy it) Profit before discount Profit after discount Loss · - - - price drop

Net price after discount
Margin before discount
Margin after discount
Extra sales needed just to break even

Why a small discount hurts more than it looks

Sell a product for 100 (in any currency) at a cost of 60, and your profit is 40 a unit. Give a "small" 15% discount and the price drops to 85 — but your profit drops to 25, a 37% cut in profit from a 15% discount. To make the same total money you'd have to sell about 60% more units. That is the hidden cost of discounting, and it's exactly what this calculator makes visible.

Need to model this across a full price list, rebates and net revenue? Try the Product Margin Simulator or the Cash Flow & Runway Simulator. For hands-on help with pricing or commercial strategy, get in touch.