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Profit margin calculator for watch dealers

Enter what a watch cost you and what it sold for to see the profit and margin, or enter a target margin to find the price you need. The matching markup is shown alongside, because the two are easy to confuse.

How it works

  1. 1Enter your costEverything you have in the watch: purchase price plus prep and shipping in.
  2. 2Enter a price or a targetEither the sale price, to find your margin, or the margin you want, to find the price.
  3. 3Read both measuresMargin is profit as a share of the sale price; markup is profit as a share of cost. Both are shown.

Margin is measured on the sale

Profit margin is the profit divided by the sale price. It tells you how much of each dollar a buyer pays you keep. Because it's measured against the larger number, the same profit always looks smaller as a margin than as a markup. Setting targets as margins keeps them tied to what you actually sell for, which is how most costs, like marketplace fees, are charged.

Count your full cost

A margin is only as honest as the cost you enter. Include everything you spent to acquire the watch and get it ready, not just the price you paid, and remember that selling costs come out before profit too. For a margin after fees and shipping, use the max buy calculator, and see what counts in cost basis.

Common questions

What's the difference between margin and markup?

Margin is profit divided by the sale price. Markup is profit divided by cost. The same deal always has a lower margin than markup, so a target means something different depending on which you use.

Can a margin be more than one hundred percent?

No. Margin is a share of the sale price, so it can approach but never reach the whole price. Markup has no such ceiling, because it's measured against cost.

Does this account for fees?

Only if you include them. Enter your full cost, or use the max buy calculator, which takes marketplace fees, processing, shipping, and prep out before working out your margin.

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