ലാഭത്തിനായി പ്രോഡക്റ്റ് വില നിശ്ചയിക്കാൻ ചെലവ്, കളഞ്ഞുപോകുന്ന അളവ്, മാർജിൻ എന്നിവ കൂട്ടുക.
How to price a product for profit is arithmetic plus a decision. Add every cost that happens because you sold one unit, add a share of the costs that happen anyway, then check the price a real buyer will pay. If those two numbers do not overlap, the product is not viable at this scale.
The worksheet
- Direct cost: materials, packaging, labour minutes, delivery.
- Wastage: if 5 in 100 units fail, load that into the unit.
- Payment and platform fees.
- Overhead share: rent, power, salaries that are not in the unit labour, divided by units you can actually sell.
- Owner pay. If it is missing, the “profit” is your unpaid salary.
- Target profit on top. What remains is the price before tax. Add GST as your invoice rules require.
Check it against the market
If the profitable price is far above what buyers pay, you need a lower cost, a smaller product, or a different buyer — not a hope that volume will appear. Use competitor price analysis so the comparison is real.
This worksheet is the floor inside a product pricing strategy.
Profit traps
- Pricing from the competitor’s shelf tag and ignoring your rent.
- Forgetting returns and replacements.
- Giving trade credit and treating the invoice as cash.
Frequently Asked Questions
What is a simple pricing formula?
Price = (direct cost + overhead share + owner pay share) ÷ (1 − target profit share), then adjust for tax display and what the market will pay.
Should I include my own salary?
Yes. A shop that only “breaks even” because the owner is unpaid is not profitable.
What if customers refuse the profitable price?
Change the product, the channel, or the cost. Selling more units below full cost scales the loss.