Pricing Strategy Calculator
Compare cost-plus, competitive, and value-based pricing side by side. See the price, revenue, profit, and margin for each model — instantly, as you type.
Product Details
Cost-Plus Pricing
Price = Cost × (1 + Markup%)
Competitive Pricing
Price = Competitor Price × (1 − Discount%)
Value-Based Pricing
Price = Perceived Value × Capture Rate%
Cost-Plus
Competitive
Value-Based
Cost-plus sets your floor, not your ceiling
A markup over cost guarantees you cover expenses, but it ignores what customers are willing to pay. Use cost-plus as a minimum price check — then test whether the market supports a higher price before you settle.
Value-based pricing captures the most margin
If customers believe your product is worth $100 and your cost is $20, charging $30 (cost-plus) leaves $70 on the table. Value-based pricing captures a share of that gap — but only works if you can articulate and quantify the value you deliver.
Reduce cost, hold price — best margin lever
A 10% price increase might lose customers. A 10% cost reduction has no customer impact and improves margins by the same amount. Scale, process improvement, bulk purchasing, and equipment upgrades all lower unit cost without touching your price.
Frequently Asked Questions
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Ready to improve your margins at scale?
Equipment financing and bulk inventory lines can reduce your cost per unit — widening the margin gap across every pricing model. A Pezzula advisor can match you to the right structure.