PLAYBOOK · 7 MIN READ
How to price your inventory
SHORT ANSWER
Start from landed cost, set a target margin by category and grade, check it against what the item actually sells for locally, and build in an automatic markdown schedule by age.
Pricing is two numbers meeting: what the unit cost you, and what the market will pay this week. Ignore either one and you get stuck inventory or thin margin.
A markdown schedule is part of the price. Deciding it at purchase time is how you avoid deciding it emotionally in month four.
The steps
- 1Price against landed costNever against invoice cost. Freight and refurbishment are real.
- 2Set targets by gradeDifferent target margins for light, moderate and heavy cosmetic damage.
- 3Check the local marketWhat comparable units actually closed at nearby — not what is listed.
- 4Set a markdown clockFor example: 10% at 30 days, 20% at 60, clearance at 90. Write it down before you buy.
- 5Track margin by channelFees, delivery and returns differ by channel and can invert your ranking.
- 6Review monthly against agingAging tells you where pricing is wrong faster than any other report.
How it looks in practice
A $160 landed unit priced at $340 is a 53% margin. At 60 days, 20% off is $272 — still 41%, and it is gone.
Where operators go wrong
- Holding for the original price because of what you paid.
- One markup rule for every category and grade.
- Ignoring channel fees when comparing margin.
TERMS USED HERE
LAST UPDATED 2026-09-16 · REVIEWED BY REGISTIX OPERATIONS TEAM