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Primary formula: corridor = reseller-compatible ceiling − supplier price floor

Educational only: Business decision support, not accounting, tax or legal advice.

Privacy: No account is required. Tool inputs and results stay in this browser. Anonymous categorical usage analytics send only governed page, tool, cluster and action identifiers; tool inputs and results are never sent. Error monitoring is disabled. Optional saved state stays only on this device.

Update policy: Reviewed when formulas or official dependencies change.

Scope: Market-neutral small-business planning using your own assumptions.

What this planner helps you decide

Best for

Suppliers and product brands negotiating a wholesale sell-in price with a reseller.

Outputs

Supplier floor, reseller-compatible ceiling, both target gaps and period economics.

Start here

Enter the supplier cost stack, intended retail list price and both parties’ target margins.

Use a different tool when: Do not use this to balance a product portfolio; use Multi-product Price Architecture Planner for that decision. Use this tool to set a wholesale price that protects supplier and reseller margins.

Price & margin

Wholesale vs Retail Channel Margin: supplier floor

Supplier floor, reseller-compatible ceiling, both target gaps and period economics.

Amounts use the same currency as your inputs. No currency conversion is performed.

Wholesale vs Retail Channel Margin

Set a wholesale price that protects supplier and reseller target margins.

Your numbers stay in this browser

currency units

Supplier product cost per unit.

currency units

Supplier handling and wholesale service cost per unit.

%

Fee retained from wholesale price.

%

Contribution target retained from wholesale price.

currency units

Intended reseller selling price.

currency units

Reseller cost per unit excluding the wholesale purchase price.

%

Gross margin target retained by the reseller.

currency units

Supplier sell-in price to test.

Units in the shared comparison period.

Decision result

Every result is derived by the registered pricing engine.

PDF and CSV exports stay on this device. Clean page links contain no inputs.
Feasible wholesale corridor
3.59
Supplier Price Floor Ex Tax
54.41
Reseller Price Ceiling Ex Tax
58.00
Planned Supplier Contribution Per Unit Ex Tax
17.88
Planned Supplier Margin
31.9%
Planned Reseller Gross Profit Per Unit Ex Tax
29.00
Planned Reseller Margin
32.2%
Supplier Period Contribution Ex Tax
8,940.00
Reseller Period Gross Profit Ex Tax
14,500.00
Supplier Target Gap Per Unit Ex Tax
1.08
Reseller Target Gap Per Unit Ex Tax
2.00

Scenario comparison

Each row names the assumption axis changed from the baseline.

ScenarioResultDifference
Current scenario3.59Baseline
Lower Planned wholesale price3.590.00
Higher Planned wholesale price3.590.00

Save these results, change an input, then compare the updated figures with this baseline.

The baseline is temporary in this tab and is not added to shared scenario links or generated reports.

Calculation details

View calculation detailsView the formulas and inputs used for these results.

Feasible wholesale corridor

Corridor Width Ex Taxreseller-compatible ceiling − supplier price floor3.59 , ex tax
Result3.59

Uses the entered assumptions on one consistent ex-tax commercial basis. The engine retains full precision; presentation is bounded for readability.

Wholesale vs Retail Channel Margin Planner formulas
Inputs used by these formula steps
Corridor Width Ex TaxSupplier Unit Cost Ex Tax
35
Corridor Width Ex TaxSupplier Wholesale Service Cost Per Unit Ex Tax
2
Corridor Width Ex TaxSupplier Wholesale Fee Rate
0.02
Corridor Width Ex TaxSupplier Target Margin
0.3
Corridor Width Ex TaxRetail List Price Ex Tax
90
Corridor Width Ex TaxReseller Selling Cost Per Unit Ex Tax
5
Corridor Width Ex TaxReseller Target Margin
0.3
Corridor Width Ex TaxPlanned Wholesale Price Ex Tax
56
Corridor Width Ex TaxWholesale Units
500

Supplier Price Floor Ex Tax

Supplier Price Floor Ex Taxsupplier cost stack ÷ (1 − supplier fee − supplier target margin)54.41 , ex tax
Result54.41

Uses the entered assumptions on one consistent ex-tax commercial basis. The engine retains full precision; presentation is bounded for readability.

Wholesale vs Retail Channel Margin Planner formulas
Inputs used by these formula steps
Supplier Price Floor Ex TaxSupplier Unit Cost Ex Tax
35
Supplier Price Floor Ex TaxSupplier Wholesale Service Cost Per Unit Ex Tax
2
Supplier Price Floor Ex TaxSupplier Wholesale Fee Rate
0.02
Supplier Price Floor Ex TaxSupplier Target Margin
0.3
Supplier Price Floor Ex TaxRetail List Price Ex Tax
90
Supplier Price Floor Ex TaxReseller Selling Cost Per Unit Ex Tax
5
Supplier Price Floor Ex TaxReseller Target Margin
0.3
Supplier Price Floor Ex TaxPlanned Wholesale Price Ex Tax
56
Supplier Price Floor Ex TaxWholesale Units
500

Reseller Price Ceiling Ex Tax

Reseller Price Ceiling Ex Taxretail list price × (1 − reseller target margin) − reseller selling cost58 , ex tax
Result58.00

Uses the entered assumptions on one consistent ex-tax commercial basis. The engine retains full precision; presentation is bounded for readability.

Wholesale vs Retail Channel Margin Planner formulas
Inputs used by these formula steps
Reseller Price Ceiling Ex TaxSupplier Unit Cost Ex Tax
35
Reseller Price Ceiling Ex TaxSupplier Wholesale Service Cost Per Unit Ex Tax
2
Reseller Price Ceiling Ex TaxSupplier Wholesale Fee Rate
0.02
Reseller Price Ceiling Ex TaxSupplier Target Margin
0.3
Reseller Price Ceiling Ex TaxRetail List Price Ex Tax
90
Reseller Price Ceiling Ex TaxReseller Selling Cost Per Unit Ex Tax
5
Reseller Price Ceiling Ex TaxReseller Target Margin
0.3
Reseller Price Ceiling Ex TaxPlanned Wholesale Price Ex Tax
56
Reseller Price Ceiling Ex TaxWholesale Units
500

Planned Supplier Contribution Per Unit Ex Tax

Planned Supplier Contribution Per Unit Ex Taxplanned wholesale price × (1 − supplier fee) − supplier cost stack17.88 , ex tax
Result17.88

Uses the entered assumptions on one consistent ex-tax commercial basis. The engine retains full precision; presentation is bounded for readability.

Wholesale vs Retail Channel Margin Planner formulas
Inputs used by these formula steps
Planned Supplier Contribution Per Unit Ex TaxSupplier Unit Cost Ex Tax
35
Planned Supplier Contribution Per Unit Ex TaxSupplier Wholesale Service Cost Per Unit Ex Tax
2
Planned Supplier Contribution Per Unit Ex TaxSupplier Wholesale Fee Rate
0.02
Planned Supplier Contribution Per Unit Ex TaxSupplier Target Margin
0.3
Planned Supplier Contribution Per Unit Ex TaxRetail List Price Ex Tax
90
Planned Supplier Contribution Per Unit Ex TaxReseller Selling Cost Per Unit Ex Tax
5
Planned Supplier Contribution Per Unit Ex TaxReseller Target Margin
0.3
Planned Supplier Contribution Per Unit Ex TaxPlanned Wholesale Price Ex Tax
56
Planned Supplier Contribution Per Unit Ex TaxWholesale Units
500

Planned Supplier Margin

Planned Supplier Marginsupplier contribution per unit ÷ planned wholesale price31.93%
Result31.9%

Uses the entered assumptions on one consistent ex-tax commercial basis. The engine retains full precision; presentation is bounded for readability.

Wholesale vs Retail Channel Margin Planner formulas
Inputs used by these formula steps
Planned Supplier MarginSupplier Unit Cost Ex Tax
35
Planned Supplier MarginSupplier Wholesale Service Cost Per Unit Ex Tax
2
Planned Supplier MarginSupplier Wholesale Fee Rate
0.02
Planned Supplier MarginSupplier Target Margin
0.3
Planned Supplier MarginRetail List Price Ex Tax
90
Planned Supplier MarginReseller Selling Cost Per Unit Ex Tax
5
Planned Supplier MarginReseller Target Margin
0.3
Planned Supplier MarginPlanned Wholesale Price Ex Tax
56
Planned Supplier MarginWholesale Units
500

Planned Reseller Gross Profit Per Unit Ex Tax

Planned Reseller Gross Profit Per Unit Ex Taxretail list price − planned wholesale price − reseller selling cost29 , ex tax
Result29.00

Uses the entered assumptions on one consistent ex-tax commercial basis. The engine retains full precision; presentation is bounded for readability.

Wholesale vs Retail Channel Margin Planner formulas
Inputs used by these formula steps
Planned Reseller Gross Profit Per Unit Ex TaxSupplier Unit Cost Ex Tax
35
Planned Reseller Gross Profit Per Unit Ex TaxSupplier Wholesale Service Cost Per Unit Ex Tax
2
Planned Reseller Gross Profit Per Unit Ex TaxSupplier Wholesale Fee Rate
0.02
Planned Reseller Gross Profit Per Unit Ex TaxSupplier Target Margin
0.3
Planned Reseller Gross Profit Per Unit Ex TaxRetail List Price Ex Tax
90
Planned Reseller Gross Profit Per Unit Ex TaxReseller Selling Cost Per Unit Ex Tax
5
Planned Reseller Gross Profit Per Unit Ex TaxReseller Target Margin
0.3
Planned Reseller Gross Profit Per Unit Ex TaxPlanned Wholesale Price Ex Tax
56
Planned Reseller Gross Profit Per Unit Ex TaxWholesale Units
500

Planned Reseller Margin

Planned Reseller Marginreseller gross profit per unit ÷ retail list price32.22%
Result32.2%

Uses the entered assumptions on one consistent ex-tax commercial basis. The engine retains full precision; presentation is bounded for readability.

Wholesale vs Retail Channel Margin Planner formulas
Inputs used by these formula steps
Planned Reseller MarginSupplier Unit Cost Ex Tax
35
Planned Reseller MarginSupplier Wholesale Service Cost Per Unit Ex Tax
2
Planned Reseller MarginSupplier Wholesale Fee Rate
0.02
Planned Reseller MarginSupplier Target Margin
0.3
Planned Reseller MarginRetail List Price Ex Tax
90
Planned Reseller MarginReseller Selling Cost Per Unit Ex Tax
5
Planned Reseller MarginReseller Target Margin
0.3
Planned Reseller MarginPlanned Wholesale Price Ex Tax
56
Planned Reseller MarginWholesale Units
500

Supplier Period Contribution Ex Tax

Supplier Period Contribution Ex Taxsupplier contribution per unit × wholesale units8,940 , ex tax
Result8,940.00

Uses the entered assumptions on one consistent ex-tax commercial basis. The engine retains full precision; presentation is bounded for readability.

Wholesale vs Retail Channel Margin Planner formulas
Inputs used by these formula steps
Supplier Period Contribution Ex TaxSupplier Unit Cost Ex Tax
35
Supplier Period Contribution Ex TaxSupplier Wholesale Service Cost Per Unit Ex Tax
2
Supplier Period Contribution Ex TaxSupplier Wholesale Fee Rate
0.02
Supplier Period Contribution Ex TaxSupplier Target Margin
0.3
Supplier Period Contribution Ex TaxRetail List Price Ex Tax
90
Supplier Period Contribution Ex TaxReseller Selling Cost Per Unit Ex Tax
5
Supplier Period Contribution Ex TaxReseller Target Margin
0.3
Supplier Period Contribution Ex TaxPlanned Wholesale Price Ex Tax
56
Supplier Period Contribution Ex TaxWholesale Units
500

Reseller Period Gross Profit Ex Tax

Reseller Period Gross Profit Ex Taxreseller gross profit per unit × wholesale units14,500 , ex tax
Result14,500.00

Uses the entered assumptions on one consistent ex-tax commercial basis. The engine retains full precision; presentation is bounded for readability.

Wholesale vs Retail Channel Margin Planner formulas
Inputs used by these formula steps
Reseller Period Gross Profit Ex TaxSupplier Unit Cost Ex Tax
35
Reseller Period Gross Profit Ex TaxSupplier Wholesale Service Cost Per Unit Ex Tax
2
Reseller Period Gross Profit Ex TaxSupplier Wholesale Fee Rate
0.02
Reseller Period Gross Profit Ex TaxSupplier Target Margin
0.3
Reseller Period Gross Profit Ex TaxRetail List Price Ex Tax
90
Reseller Period Gross Profit Ex TaxReseller Selling Cost Per Unit Ex Tax
5
Reseller Period Gross Profit Ex TaxReseller Target Margin
0.3
Reseller Period Gross Profit Ex TaxPlanned Wholesale Price Ex Tax
56
Reseller Period Gross Profit Ex TaxWholesale Units
500

Supplier Target Gap Per Unit Ex Tax

Supplier Target Gap Per Unit Ex Taxsupplier contribution per unit − planned wholesale price × supplier target margin1.08 , ex tax
Result1.08

Uses the entered assumptions on one consistent ex-tax commercial basis. The engine retains full precision; presentation is bounded for readability.

Wholesale vs Retail Channel Margin Planner formulas
Inputs used by these formula steps
Supplier Target Gap Per Unit Ex TaxSupplier Unit Cost Ex Tax
35
Supplier Target Gap Per Unit Ex TaxSupplier Wholesale Service Cost Per Unit Ex Tax
2
Supplier Target Gap Per Unit Ex TaxSupplier Wholesale Fee Rate
0.02
Supplier Target Gap Per Unit Ex TaxSupplier Target Margin
0.3
Supplier Target Gap Per Unit Ex TaxRetail List Price Ex Tax
90
Supplier Target Gap Per Unit Ex TaxReseller Selling Cost Per Unit Ex Tax
5
Supplier Target Gap Per Unit Ex TaxReseller Target Margin
0.3
Supplier Target Gap Per Unit Ex TaxPlanned Wholesale Price Ex Tax
56
Supplier Target Gap Per Unit Ex TaxWholesale Units
500

Reseller Target Gap Per Unit Ex Tax

Reseller Target Gap Per Unit Ex Taxreseller gross profit per unit − retail list price × reseller target margin2 , ex tax
Result2.00

Uses the entered assumptions on one consistent ex-tax commercial basis. The engine retains full precision; presentation is bounded for readability.

Wholesale vs Retail Channel Margin Planner formulas
Inputs used by these formula steps
Reseller Target Gap Per Unit Ex TaxSupplier Unit Cost Ex Tax
35
Reseller Target Gap Per Unit Ex TaxSupplier Wholesale Service Cost Per Unit Ex Tax
2
Reseller Target Gap Per Unit Ex TaxSupplier Wholesale Fee Rate
0.02
Reseller Target Gap Per Unit Ex TaxSupplier Target Margin
0.3
Reseller Target Gap Per Unit Ex TaxRetail List Price Ex Tax
90
Reseller Target Gap Per Unit Ex TaxReseller Selling Cost Per Unit Ex Tax
5
Reseller Target Gap Per Unit Ex TaxReseller Target Margin
0.3
Reseller Target Gap Per Unit Ex TaxPlanned Wholesale Price Ex Tax
56
Reseller Target Gap Per Unit Ex TaxWholesale Units
500

Inputs used

Supplier unit cost
35
Supplier wholesale service cost
2
Supplier wholesale fee
0.02
Supplier target margin
0.3
Retail list price
90
Reseller selling cost
5
Reseller target margin
0.3
Planned wholesale price
56
Wholesale units
500
Open this calculator with preset values

This calculator supports documented, shareable scenario URLs. Compatible assistants and applications can construct links using the parameters below.

Scenario links contain only allowlisted numeric and closed-choice inputs shown in the URL; Margin101 excludes free text and identifying fields. Anyone you share the URL with can read those numbers, so do not include private or identifying data.

Example: https://margin101.com/tools/wholesale-retail-channel-margin/?sv=1&plannedWholesalePriceExTax=56&resellerSellingCostPerUnitExTax=5&resellerTargetMargin=0.3&retailListPriceExTax=90&supplierTargetMargin=0.3&supplierUnitCostExTax=35&supplierWholesaleFeeRate=0.02&supplierWholesaleServiceCostPerUnitExTax=2&wholesaleUnits=500

ParameterMeaningUnitAllowed valuesPresenceDefault
plannedWholesalePriceExTaxSupplier sell-in price to test.currency units/product unit, ex tax0 to 10000000Required56
resellerSellingCostPerUnitExTaxReseller cost per unit excluding the wholesale purchase price.currency units/product unit, ex tax0 to 10000000Required5
resellerTargetMarginGross margin target retained by the reseller.proportion of retail price retained by reseller0 to 0.99Required0.3
retailListPriceExTaxIntended reseller selling price.currency units/product unit, ex tax0 to 10000000Required90
supplierTargetMarginContribution target retained from wholesale price.proportion of wholesale price retained by supplier0 to 0.99Required0.3
supplierUnitCostExTaxSupplier product cost per unit.currency units/product unit, ex tax0 to 10000000Required35
supplierWholesaleFeeRateFee retained from wholesale price.proportion of wholesale price charged as supplier fee0 to 0.99Required0.02
supplierWholesaleServiceCostPerUnitExTaxSupplier handling and wholesale service cost per unit.currency units/product unit, ex tax0 to 10000000Required2
wholesaleUnitsUnits in the shared comparison period.whole product units/comparison period0 to 10000000Required500

Wholesale vs Retail Channel Margin: supplier floor

The corridor shows whether one wholesale price can meet both the supplier and reseller margin targets entered.

Formula summary

Primary formula
corridor = reseller-compatible ceiling − supplier price floor

Read the full methodology

Data used here

  • The estimate uses your inputs and the general business formula documented in the methodology.

Decision checks

Act on the result

Negotiate within the feasible corridor or revisit an explicit cost or target when no corridor exists.

Stress-test the decision

Retest the reseller selling cost and both target margins before confirming wholesale terms.

When this estimate can be misleading

  • This workflow models supplier and reseller margin targets; it does not compare direct and partner channel contribution.
  • Results depend on the accuracy and consistent basis of your inputs.
  • The planner does not predict demand, competitor behaviour or supplier terms.
  • Use the result as educational business decision support, not accounting, tax or legal advice.
  • The corridor shows whether one wholesale price can meet both the supplier and reseller margin targets entered.

Educational estimate, not advice. See all assumptions & limitations →

Guides to interpret the decision and its assumptions.

Frequently asked questions

How do I set a wholesale price that protects supplier and reseller margins?

Negotiate within the feasible corridor or revisit an explicit cost or target when no corridor exists.

Which planning assumptions should I stress-test?

Compare a plausible alternative scenario and verify the decision-critical assumption that changes the plan most.