What is Keystone pricing?

Keystone pricing means setting the retail price at double the wholesale cost — a 100% markup, or a 50% margin.

Example

A product bought wholesale at $15 is priced at $30.

Why it matters

It is a quick retail rule of thumb, but online sellers often need more to cover marketplace fees, shipping and ads.

Calculate it: Markup Calculator

Selling price from cost and markup

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Question

What is keystone pricing?

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Answer

Keystone pricing means setting the retail price at double the wholesale cost — a 100% markup, or a 50% margin.

Related terms

Markup

Markup is profit as a percentage of cost: (price − cost) ÷ cost × 100.

Profit margin

Profit margin is profit as a percentage of the selling price: (price − cost) ÷ price × 100.

Read more in our guide: Profit Margin vs Markup: The Difference That Costs Sellers Money