How it works
How to calculate a discount
Enter the original price
Type in what the item normally sells for. This is the full price before any discounts are applied.
Set the discount percentage
Enter the percentage off. Whether it is 10%, 25%, or 50%, the calculator instantly shows the dollar amount saved and the final sale price.
See the sale price and savings
You get the discounted price the customer pays plus the total amount saved. Use it to price promotions, compare deals, or figure out what discount to offer.
Discount strategies that actually work
Not all discounts are created equal. Here is how to use them without wrecking your margins.
Use odd numbers instead of round ones
A 17% off sale feels more specific and deliberate than 20% off. It also preserves an extra 3% of margin. Customers perceive odd discounts as carefully calculated deals rather than arbitrary markdowns.
Set a minimum spend for the discount
Offering 15% off orders over $75 raises your average order value. A customer who was going to spend $50 often adds another item to hit the threshold, netting you more profit even after the discount.
Discount slow movers, not best sellers
Your best sellers already convert fine at full price. Save discounts for products with high inventory that aren't moving. You clear stock without training customers to wait for sales on popular items.
Put an expiration on it
A discount that runs forever isn't a discount. It is your new price. Time-limited offers create urgency. A 48-hour 20% off sale converts better than a permanent 20% off badge on the page.
Know your break-even volume
If you cut price by 20% and your margin was 50%, you need to sell 67% more units to make the same profit. Run that math before committing to a big sale. Sometimes the volume boost isn't worth it.
Test dollar-off vs percent-off
A common pricing rule of thumb: for items under $100, a percentage off feels bigger. For items over $100, a dollar amount feels bigger. Saying $30 off a $150 item is more compelling than saying 20% off, even though it is the same thing.
More free tools
All tools →- Profit margin calculatorMargin on every product, after cost, shipping and fees.
- Markup calculatorRetail price, profit per unit and margin from your cost.
- Psychological pricing toolSix price variants for one target price, with the reasoning.
- Bundle discount calculatorBundle, BOGO and buy-X-get-Y prices per item.
FAQ
Questions, answered
Multiply the original price by the discount percentage, then subtract that from the original price. A 25% discount on an $80 item: $80 times 0.25 equals $20 off, so the sale price is $60. Or just plug it into the calculator above.
They don't just add up. If you apply 20% off and then another 10% off, the second discount applies to the already-reduced price. So on a $100 item, 20% off brings it to $80, then 10% off that gives you $72. Total discount is 28%, not 30%.
For products priced above $100, dollar amounts tend to feel bigger to customers. Saying "save $50" on a $200 item sounds better than "25% off" even though it's the same. Below $100, percentages usually win. It's a psychological thing, but it genuinely affects conversion rates.
More than most people realize. If your margin is 40% and you offer 20% off, your profit per unit drops by half. On a $50 product that costs you $30, full price gives you $20 profit. At 20% off the sale price is $40, so you only make $10. That's a 50% cut in profit from a 20% discount.
Free shipping often converts better because people hate paying for shipping more than they love getting a discount. If your average shipping cost is $8, offering free shipping on a $50 item is like a 16% discount but it feels more valuable to the customer. Test both and see what your numbers say.
Divide your target net price by (1 minus the discount rate). If you want to net $40 after a 20% discount, calculate $40 divided by 0.80, which gives you $50. Set the original price at $50 and the 20% discount brings it right to $40.
They can. If customers learn you run sales every two weeks, they'll stop buying at full price and just wait. It trains bargain behavior. Brands like J.Crew learned this the hard way when constant promotions eroded their perceived value. Use discounts strategically, not as a habit.
There is no single standard. Most stores keep regular promotions modest and save deeper cuts for occasional flash sales. Pick a discount that feels meaningful to shoppers, then check in the calculator that your margin can take it.
Let reviews do the selling so you discount less often
Stores with strong review profiles don't need constant sales to convert visitors. WiserReview helps you collect and display authentic customer reviews that build trust and reduce your reliance on discounts.
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