Free CPG Tool

Unit Economics Calculator

Know your real contribution margin by channel. Select how you sell, plug in your numbers, and instantly see margins, break-even, and benchmarks — built specifically for CPG brands.

How do you sell your product?

Pick your primary sales channel. This changes the inputs, default values, and the benchmarks we grade your margins against. Sell in multiple channels? Run the calculator once for each.

Not sure about a number?

We've pre-filled realistic defaults for a typical CPG product in the wholesale channel. Hover or tap the icon next to any field for guidance. Results update in real time as you type.

Pricing & Retailer Cut

What does the consumer pay on shelf, and what percentage does the retailer keep? Your wholesale price (what you actually receive) is calculated automatically.

The price a consumer pays on shelf. This is not what you receive — the retailer takes their margin first.
$
Natural grocery: 30-40%. Conventional: 35-45%. The retailer keeps this percentage of the shelf price.
%

Cost of Goods (per unit)

How much does it cost to make one unit of your product? Break it into three buckets. If you manufacture in-house, put your labor cost under co-manufacturing.

Raw material cost per unit including all ingredients.
$
Bottles, labels, caps, shrink wrap, cartons per unit.
$
Co-packer fee per unit, or your own manufacturing labor cost per unit.
$

Freight & Trade Spend

Costs specific to the retail channel — shipping product to stores/distributors and trade promotions to get and keep shelf space.

Inbound freight from co-man + outbound to distributor or retailer, per unit.
$
Promotional allowances, slotting fees, retailer chargebacks as % of retail. Typical: 15-25%.
%

Fixed Costs

Your monthly overhead that doesn't change with volume — rent, salaries, insurance, software, etc. Only used for the break-even calculation below.

Rent, salaries, insurance, SaaS, etc. Used for break-even calculation.
$

Wholesale Channel Results

Your Unit Economics

Healthy

Wholesale Price

Retail price minus the retailer's cut — what you actually receive

$6.49

Total COGS

Ingredients + packaging + co-manufacturing

$2.80

Gross Margin

56.88% — wholesale minus COGS

$3.69

Freight

Shipping product to stores or distributors

−$0.40

Trade Spend

Promos, slotting fees, and chargebacks

−$1.50

Contribution Margin

27.64% — real profit per unit after all variable costs

$1.80

For wholesale, a healthy contribution margin is 25%+. Between 1525% is moderate. Below 15% means you're likely losing money after overhead.

Break-even

13,928

units per month to cover fixed costs

$25,000 fixed costs ÷ $1.80 margin per unit. Sell more than this and you're profitable.

Where the Money Goes

Every dollar of your retail price broken down. The green slice is what you keep.

35%
28%
15%
18%
Retailer Cut
COGS
Freight
Trade Spend
Your Margin

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Wholesale Benchmarks

How do your margins compare?

Typical contribution margin ranges for CPG brands selling through wholesale. Your category, stage, and product type all factor in.

Margin Grading Scale — Wholesale

Healthy

25%+

Strong unit economics

Moderate

1525%

Room to optimize

At Risk

Below 15%

Likely unprofitable

Negotiate Retailer Margin

Even 2-3% better margin from your buyer can add up to hundreds of thousands in profit at scale. Come prepared with velocity data.

Optimize Trade Spend

Track every promo dollar. Cut underperforming promotions and double down on ones that drive sustained velocity, not just one-time lifts.

Lower COGS at Volume

Renegotiate co-man rates when you hit volume thresholds. Consolidate packaging runs. Every $0.10 per unit matters at scale.

Glossary

Key terms explained

New to CPG finance? Here's a quick reference for every metric in this calculator.

Retail / Selling Price

The price a consumer pays for your product — on shelf, online, or through your store. Everything else is deducted from here.

Retailer Margin

The percentage the retailer keeps. If your product is $10 and they take 35%, they keep $3.50. You receive $6.50 (your wholesale price).

Platform / Processing Fee

For DTC: the percentage taken by Amazon (~15%), Shopify Payments (~3%), or other platforms on each sale.

COGS (Cost of Goods Sold)

Direct cost to make one unit — raw ingredients, packaging, and co-manufacturing or labor. Does not include freight or overhead.

Trade Spend

Money spent to get and keep shelf space — promotional allowances, slotting fees, chargebacks. Typically 15–25% of retail.

Customer Acquisition Cost (CAC)

For DTC: how much you spend on marketing per new customer. Monthly ad spend ÷ new customers acquired.

Contribution Margin

What's left from each sale after ALL variable costs. This covers your fixed costs and eventually becomes profit.

Break-even Units

Units (or orders) you need to sell monthly so total contribution margin covers fixed costs. Above this = profitable.

Need more than a calculator?

We build full financial models, track real-time margins by SKU and channel, and give you the clarity to scale with confidence.