——/glossary · Business Operations
Markup
Definition
Markup is the amount added to the cost of a product or service to set its selling price, often expressed as a percentage of cost.
——In depth
Markup is how much you add on top of what something costs you. If an item costs you a set amount and you add half again on top, that addition is the markup.
Markup and margin are related but not the same: markup is calculated against cost, while margin is calculated against the selling price. Confusing the two is a common pricing mistake that quietly erodes profit.
——Related terms
——See also
↳From theory to traction
Put Markup to work this week.
Knowing the term is step one. The business kits ship the systems and templates that turn concepts like this into a running operation.