Tools · Discount Damage Calculator: how much more you must sell · Free, no sign-up
Discount Damage Calculator: how much more you must sell
Enter your price, your cost and the discount you are thinking of giving. You will see your break-even sales: how much more you must sell just to earn the same gross profit, plus a script to hold your price. Know only your margin? Type it instead.
Discount Damage Calculator: how much more you must sell
Result…
sellsip.com · Keep the receipt
How it works
Extra volume needed = discount ÷ (gross margin − discount), both as a percentage of the original price. Because the discount comes straight out of your margin, a small price cut removes a large share of the profit on each unit.
| Check | Margin | Discount | Extra volume needed |
|---|---|---|---|
| Example 1 | 40% | 10% | 10 ÷ 30 = 33.3% |
| Example 2 | 30% | 20% | 20 ÷ 10 = 200% |
| Example 3 | 25% | 25% | No volume fixes it |
This uses gross profit only. It ignores fixed costs, commission plans and any change in customer lifetime value. Read the full explainer: Discount math.
Questions people ask
How much more do I need to sell to cover a 10% discount?
It depends on your margin. At a 40% gross margin you need 33.3% more volume; at a 30% margin, 50% more; at a 20% margin, 100% more. The formula is discount ÷ (margin − discount).
What if the discount is bigger than my margin?
Then every sale loses money and no extra volume can recover the profit. Hold the price or trade for something of greater value.
Is my data saved?
No. The calculation runs in your browser. The result link holds only the four numbers you typed.