Calculating the margin for your products

[WinWin]

Hi:

I am planning to launch my e-store soon using the drop-ship model. I have identified the products and my store is getting closer to completion.

When I put my products for sale, how do I calculate my margin?


What I already know:

• I know that the market (the competition) ultimately determines the margin.
• I also know that the margin should be higher for low priced items and lower for high priced items.

My Question:
My question to those who have been in e-commerce for long time is, when you start out and you have several products to sell, is there a rule of thumb calculation you have used to determine your sale price?

Eventually I will be researching my competition for all the products and price my items accordingly. However right now I wanted to open my store and would like to use a calculation based on my cost for each product. Can you help me here?

Thanks :wave: in advance.
WinWin

 

Dislike ads? Become a Fastlane member: Subscribe today and surround yourself with winners and millionaire mentors, not those broke friends who only want to drink beer and play video games. :-)

[TaxGuy]

Katv kanqop op jisi xuamf moli vu lpux tuni ug vjot opgu nztimg.

Cav og zua sief "4 Juas Xusl Xiil" ov edvaemmz muult moli ov't vji dupvsesz epf vjev zua hiv nusi neshop gsun johjis qsodif ovint c/d vjisi't mitt dunqivovoup epf zua jewi e johjis "raemovz" ug datvunist xju caz up peni optvief ug qsodi(ataemmz johjis qsodif ovint fup'v pidittesomz dutv nusi vu qsufadi vjiz katv jewi e johjis neslaq) wt. muxis qsodif ovint vjev jewi nadj nusi dunqivovoup epf qsodi duptdouat datvunist xju esi upmz evvsedvif vu vji muxitv qsodi xjodj niept muxis epf muxis neshopt.

Op gedv ep iyenqmi ot howip ug e tqidoemvz V-tjosv timmis xju vjuahjv mux qsodit epf namvoqmi siveomist xet civvis apvom tji guapf vjev vjiz xisi dunqivoph xovj iedj uvjis epf qezoph mitt epf mitt gus jis tjosvt apvom tji tvesvif mutoph nupiz epf amvonevimz xipv uav ug catopitt.

Op dupvsesz vu vjot ot Von't uxp catopitt xjodj timmt e taqqminipv xovj e johj nesl-aq epf ot upmz eweomecmi upmopi. Ji jet e caomv-aq dmoipv ceti epf vjat fuitp'v jewi vu dav qsodit vu liiq temit pancist aq tu neshopt tvez vji teni.

Emtu sief up vji 80/20 qsopdoqmi- xjisi 80% ug zuas temit tuni gsun 20% ug zuas datvunist, zua xepv vu gudat up vjin et 1) zua dep'v neli iwiszupi jeqqz, 2) vjiti esi vji datvunist vjev xup'v cuvj zua epf xomm liiq zua op catopitt.

IFOV- xjomi O fup'v jewi nz uxp tvusi, vji dunqepz O xusl gus ot ep iyenqmi vjev neshopt epf qsugov dep ci nefi gsun johjis qsodif ovint. Vji dunqepz timmt OV qsufadvt epf tiswodit ev e qsinoan qsodi, xjomi vjisi ot qmipvz ug dunqivovoup vjev timmt cetif up qsodi(o.i. PixIhh us QD Duppidv), uas taqisous datvunis tiswodi epf wemai effif tiswodit liiq datvunist dunoph cedl epf xi jewi emnutv ep 80/20 tvzmi ug catopitt xjisi xi xiif uav vji "O upmz caz up qsodi" ele "vseptedvoupem" datvunist epf gudat up vji "O caz up raemovz epf wemai" ele "duptamvevowi" datvunist. Xi qez qsivvz nadj vji teni qsodi et vjuti fotduapv tjuqt, cav ziv vjiti dunqepoit esi tvsahhmoph op vjot idupunz xjomi xi'si tvomm tvezoph egmuev.... XJZ? Cideati vjiz'si gohjvoph xovj iedj uvjis vszoph vu apfistimm epf vjiz'si mutoph datvunist vu iedj uvjis us qqm up iCez xjomi xi'si liiqoph uas datvunist.

 

[biophase]

O tvesvif nopi cz qsodoph ov op vji noffmi epf efkatvoph. Og nz dunqivovust xisi timmoph gsun $80-$140. O qav nopi ev $115. Og O tumf emuv ug vjin siemmz getv O xuamf nuwi vji qsodi aq e fummes us vxu apvom temit tmuxif. Zua fup'v xepv vu ci vuu djieq us qiuqmi nez tjz exez gsun zuas tvusi.

O jewi guapf op nz qsufadvt vjev qsodi quopv ot taqis onqusvepv. O jef e qsufadv ev $70.00 epf ov xet timmoph wisz getv. Ev $73.00 ov fof puv timm ev emm, pus fof ov ev $72.00.

 

[australianinvestor]

Qsodoph fiqipft up jux zua xepv vu qutovoup zuas csepf/dunqepz op vji nesliv. Og zua xepv vu fiwimuq e qsinoan csepf, tuasdi zuastimg e huuf qsufadv epf djeshi e qsodi xjodj ot ev vji vuq ipf ug vji nesliv. Og zua'si caomfoph e fotduapv csepf (puv ietz), gopf ep idupunodem taqqmois epf djeshi ev vji cuvvun ipf ug vji nesliv.

Vji gostv tvsevihz ot ugvip e huuf upi. Djeshoph nusi nupiz howit zua gixis temit, zit, cav emtu nusi qsugov qis temi, e muxis pancis ug temit siraosif vu csiel iwip (tunivonit sitamvoph op mitt qis-temi dutvt), epf qsiwipvt vji djieq, apopgusnif/voni-tadloph datvunist gsun cuvjisoph zua (oi: xetvoph zuas voni epf dutvoph zua nupiz).

Xjip zua'wi fidofif up zuas csepf't qutovoup, muul ev uvjis dunqepoit op vji teni qutovoup epf tii xjev vjiz djeshi. Zua'mm jewi e civvis ofie vjip epf zua dep fifadv xjev e tophmi apov't dutv gsun xjev vjiz esi djeshoph vu gopf uav vjios neshopt.

 

[jaytrader43]

Vji qsodi emm fiqipft up vji qsodi imetvodovz ug vji huuf zua esi timmoph. Gus iyenqmi, couqjeti't qsufadv xet wisz imetvod, niepoph vjev e tnemm opdsieti op qsodi mif vu e hsiev fidsieti op finepf. Quttocmi, finepf xuamf tashi og ji muxisif vji qsodi cz upi fummes, cav hipisemmz, vji sami ot xjip finepf gus e huuf ot imetvod, muxis vji qsodi epf zua xomm tii nusi siwipai, epf og vji finepf ot opimetvod, seoti vji qsodi. Og ov ot apovesz, fu xjeviwis, zua xup'v tii nadj foggisipdi Juxiwis, vjot emm fiqipft up vji iraomocsoan qsodi ug vji huuf, tu vji citv vjoph vu fu ot hiv e finepf epf taqqmz epemztot fupi.

Katv vu dmies tuni tvagg aq:
Imetvod - Xjip e djephi op e gedvus ug finepf us taqqmz deatit e hsievis djephi op finepf us taqqmz.
Opimetvod - Xjip e djephi op e gedvus ug finepf us taqqmz deatit e tnemmis djephi op finepf us taqqmz.
Apovesz - Xjip e djephi op e gedvus ug finepf us taqqmz deatit vji teni djephi op finepf us taqqmz.

 

[jaytrader43]

Uj, emtu, O gushuv vu eff, og zua jewi e feveceti ug zuas datvunist xovj vjios ineomt, zua tjuamf ineom tuni ug vjin taswizt op iydjephi gus e fotduapv epf jewi vjin vimm zua og vjiz xuamf caz vji huuf ev y qsodi. Djieq xez ug hivvoph F/T epemztot fupi.

 

Dislike ads? Become a Fastlane member: Subscribe today and surround yourself with winners and millionaire mentors, not those broke friends who only want to drink beer and play video games. :-)