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Order Margin

Calculate the margin you keep on a typical order.

About Order Margin

All order costs are subtracted from the customer price, and the remainder is shown as a margin. Margin, not discount, is what funds growth; tracking it per order flags under-priced deals early.

Formula

Order Margin

Margin = (price - all costs) / price

multiplier
How many times cost the price was set at

Worked example

With the default values below, Order Margin returns Order Margin of 30.0%. Change any input above and every figure here is recalculated in your browser.

Inputs used

Customer pays
100
Cost to fulfill
60
Extra costs
10

Results

Gross on Order
$30.00
Order Margin
30.0%
Markup Multiplier
1.43

Step by step

  1. 1Values used
  2. 2Order Margin
  3. 3Order Margin= 30.0
  4. 4Gross on Order= 30.00
  5. 5Markup Multiplier= 1.43

Assumptions and limits

  • The result is derived only from the 3 inputs listed above. Anything not among them is not part of the calculation.
  • In particular, this calculator does not take inflation, tax or compounding frequency into account.
  • Figures are rounded for display to 2 decimal places, so totals built from several rounded parts can differ slightly from the unrounded arithmetic.
  • This is an estimate for general information and not professional financial, tax or legal advice. See the full disclaimer for the limits that apply to this kind of calculator.

How these calculators are built and tested is described on the Methodology page. If a figure looks wrong, please report it.

Frequently Asked Questions

How is Order Margin calculated?

Margin = (price - all costs) / price All order costs are subtracted from the customer price, and the remainder is shown as a margin.

Why does Order Margin matter?

Margin, not discount, is what funds growth; tracking it per order flags under-priced deals early.

What values do I need to enter?

This calculator takes 3 inputs: Customer pays, Cost to fulfill, Extra costs. The pre-filled defaults are a realistic starting point — replace them with figures from your own environment for a result you can act on.

Related Calculators

Order Margin – Calculate Order Margin & Gross on Order