Running a sale? Make sure your discounts are profitable, not just popular. Our discount calculator helps you find the sweet spot between attractive pricing and healthy margins.
Discount Formulas
Sale Price: Original Price × (1 - Discount% / 100) Discount Amount: Original Price × (Discount% / 100) Discount Percentage: ((Original - Sale Price) / Original) × 100
E-commerce Discount Strategy Guide
| Discount Level | Best For | Impact on Margins |
|---|---|---|
| 5-10% | First-time buyers, email signups | Minimal margin impact |
| 15-20% | Seasonal sales, slow-moving inventory | Moderate impact |
| 25-30% | Black Friday, clearance | Significant impact |
| 40-50%+ | End of season, damaged goods | Only if margin allows |
Pro Tips for Profitable Discounts
- Never discount below your break-even point — Know your minimum viable price
- Use "$ off" for expensive items — "$50 off" feels bigger than "10% off" on a $500 item
- Use "% off" for cheap items — "25% off" feels bigger than "$5 off" on a $20 item
- Bundle instead of discount — "Buy 2 Get 1 Free" preserves perceived value better than "33% off"