How to configure Markup for products?

Markup is the difference between the selling price of a good and the cost. It is often expressed as a percentage over the cost. In Marketcube, the vendor is known as the owner of the product so how the operator can cover up the marketplace cost?

An operator cannot make changes in the existing price of a product but he has to undergo various marketplace charges which he/she can even out by adding markup in the product's price. This markup is visible to the customers in the frontend store and is part of the operator's share at the time of payouts. 
This feature is part of our pricing management. If the operator updates the price on Shopify, it will reflect as markup in Marketcube 

As a Marketplace operator,  you have the following options available for setting up Markup, which falls under two board categories, Standard and Advanced.

  1. Select Settings >> Click Show for Products panel >> choose Markup
  2. There are two standard markup types available, this standard markup figure is a global function so will be set for all products. In simple terms, standard markup will add markup in each product added by each vendor.
    a. Flat rate (Flat rate is a set amount charged on all products example $5)
    b. Percentage (Percentage markup is a set amount charged on all products. for example 20 % on a $10 product  = $12 in total)
  3. Advance Markup:This feature will allow the operator to set up Markup on the basis of vendors and Product Category.

    Category markup is set on the basis of a products category e.g. means shoes.

    Vendor markup is set up against a single or group of vendors.

    For Example, if the operator has added a markup of 10% for a specific vendor then he will have an increased price on the store with 10% for that vendor's product.
    Vendor Name- Stacy
    Product - Brown Leather bag
    Product Price added by vendor- $100
    Price visible to Customers- $110 ($100+10%=$110)

    A. Vendor basis, A reminder to Set Rules for vendors to make sure the advance commission is used in case of vendors
    B. Product Type basis,  you will have the same option to add in a flat rate or a percentage per product category. A reminder to Set Rules to Product Type to make sure the advance commission is used.
    C. Or a combination of both Vendor and Product types. There's no limit to how many combinations you can add

  4. Press "Save" to save the settings. 


Key points to remember/ Warnings:

  • If the operator is updating the product price on his Shopify then the increased price will reflect as markup in marketcube.

 Let's understand Markup with an example.
Operator Name-  Marshall
Vendor Name- Ralph
Product - Polo White T-Shirt
Product Price added by the vendor- $100

  • Marshall added a markup of 10% for vendors on his marketcube app.

  • This setting will change the product price on the front-end store of the operator.

  • This markup will also be visible in the order screen at operators but not on the vendor side.

  • Vendor payout calculation and commission will be done on the basis of the actual price added by the vendor.
  • If the product price is updated on Operator's Shopify, it will be assumed as Markup in Marketcube

    Got more questions? Use the chatbox on the right to get in touch with us or email 

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