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Gross Margin Calculator

Enter your selling price and unit cost to get gross margin %, gross profit per unit, and markup % in seconds.

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Gross margin
Gross profit
Markup

What gross margin tells you

Gross margin is the share of each sale left after the cost of goods: (Price − Cost) ÷ Price. It’s the money available to cover ads, overheads and profit.

From margin to ad budget

Higher gross margin = a lower break-even ROAS and more room to bid. It’s the first number I check on any ecommerce account.

Frequently asked questions

How do I calculate gross margin?

Subtract unit cost from selling price, divide by selling price, multiply by 100.

Is gross margin the same as markup?

No — margin is over the price, markup is over the cost. They diverge quickly at higher values.

Is this free?

Yes — no sign-up.

Numbers not adding up?

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