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Discount break-even calculator

Find out how many extra sales a discount needs before it earns you as much as your full price does.

Your numbers, excluding VAT

Prefilled with example values: replace them with yours.

€
€

Everything that varies with each sale: product, packaging, payment fees, shipping if you pay it.

%

Result

Extra sales needed

+50%

For every 100 sales today, you need 150 at the discounted price.

Price after discount
€32.00
Gross margin rate
60%
Margin per unit, full price
€24.00
Margin per unit, discounted
€16.00

Past a 60% discount, every sale loses money.

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Your numbers are saved in this page’s link, so you can share the result.

How it’s calculated

Margin per unit is the price minus the unit cost. After the discount, it becomes the discounted price minus the same unit cost. The extra sales needed is the ratio between the two, minus one: the volume increase that keeps your gross profit unchanged.

As a formula, with m the gross margin rate and d the discount: extra sales needed = d ÷ (m − d).

What this calculator leaves out

  • Fixed costs, advertising spend and your own time.
  • Customers who would have bought at full price anyway.
  • Effects on other products, repeat purchases or how your brand is perceived.

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