Find the wholesale price you need to charge to hit your target margin, and see what a bulk discount does to it.
Wholesale price = unit cost ÷ (1 − target margin). This tells you the price needed to hit a specific margin on cost. If you're offering a bulk discount for a large order, the calculator also shows what your actual margin becomes after that discount is applied.
This calculator uses margin (profit as a percentage of the selling price), which is what most retailers and wholesalers budget against — it's a different number than markup (profit as a percentage of cost). A 40% margin is not the same as a 40% markup; see the keystone markup calculator for the markup version.
A product costing $8 with a 40% target margin: wholesale price is $8 ÷ 0.60 = $13.33. If you offer a 10% bulk discount for a large order, the discounted price is $12.00, and your actual margin drops to 33.3% — worth knowing before agreeing to a bulk discount.
What's a reasonable wholesale margin? It varies heavily by industry, but many wholesalers target 30-50% margin to leave enough room for the retailer to mark the product up again to a viable retail price.
Should I offer bulk discounts? Bulk discounts can secure larger, more reliable orders, but always check your actual resulting margin (as shown here) before agreeing — a discount that looks reasonable in percentage terms can quietly erode your margin more than expected.
How is this different from retail pricing? Wholesale price is what you charge a retailer or reseller buying in volume; retail price is what the end consumer pays, usually after the retailer applies their own markup on top of your wholesale price.