Product price markup?

Discussion in 'General Marketing' started by alvin1972, Sep 23, 2010.

  1. #1
    Usually when coming to the selling product online, if you are internet marketer, how many percent of markup you usually charge to the customer? Let's said, if you buyer a product at cost USD5, then how many percent that you will sell? Any advice?
     
    alvin1972, Sep 23, 2010 IP
  2. PHPGator

    PHPGator Banned

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    #2
    Well, this really varies based on the product. You certainly want to make profit. I've got some products that have a 50% profit margin while others only have 5%. Others I just sell for at cost because usually if they buy those they will also buy other stuff. So just think about it, but certainly never take a loss. It's the quickest way to go out of business. If you have to sell for a loss just to compete, find a different product to sell.

    Not every product is great to sell online and at times you just can't compete. If you can match prices and make 20 - 30% on average, you're good to go to at least attempt to market the product.
     
    PHPGator, Sep 23, 2010 IP
  3. Justin_Dupre

    Justin_Dupre Peon

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    #3
    All depend on the cost of each product. You need to work with them accordingly to the price they set and each promotion they do.. but yeah normally 5 - 10% for $5
     
    Justin_Dupre, Sep 27, 2010 IP
  4. stockpicker

    stockpicker Peon

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    #4
    yeah 20 % is fair
     
    stockpicker, Apr 4, 2011 IP
  5. richbate

    richbate Peon

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    #5
    +1 PHPGator

    Best thing to do is look at your competitors and see what price they have for similar products. Markup depends entirely on the product - You can't REALLY have a general rule of thumb on this kind of thing.
     
    richbate, Apr 4, 2011 IP