What is the Discount Impact Calculator?
A discount profit calculator shows how much extra volume a promotion must bring in just to stand still. Extra sales needed = old profit per unit ÷ new profit per unit − 1. Because the discount comes straight out of profit, 20% off a $50 item costing $25 cuts profit per unit from $25 to $15, so you need 66.7% more sales — 333 units instead of 200 — to earn the same gross profit.
If the discount is as large as your margin, no extra volume can make up for it, and the calculator says so.
How to use the Discount Impact Calculator
- Enter the Regular price and Unit cost.
- Enter the Discount percentage you plan to offer.
- Enter Units sold at full price (per period).
- Read the extra sales needed to break even, the units required, and profit and margin before and after the discount.
Why use AnyShift's Discount Impact Calculator
Instant resultsNumbers update as you type — no submit button, no page reloads.
Formula shownEvery result shows how it was calculated so you can check the maths.
Editable assumptionsRates, fees and defaults are pre-filled but always adjustable.
Private by designCalculations run in your browser. Nothing is stored or sent.
Popular use cases
- Planning Black Friday or seasonal sale discounts
- Evaluating a coupon code for an influencer campaign
- Deciding between a percentage discount and a free gift
- Clearing old stock without destroying margin
Extra sales needed to keep the same profit
| Gross margin | 10% off | 15% off | 20% off | 25% off |
|---|---|---|---|---|
| 20% | +100% | +300% | Impossible | Impossible |
| 30% | +50% | +100% | +200% | +500% |
| 40% | +33.3% | +60% | +100% | +166.7% |
| 50% | +25% | +42.9% | +66.7% | +100% |
| 60% | +20% | +33.3% | +50% | +71.4% |
Formula: discount ÷ (margin − discount), with both as a percentage of the regular price.
Frequently asked questions
Are discounts worth it?
Only if they drive enough extra volume, clear stock you would otherwise write off, or acquire customers who buy again at full price.
How much more do I need to sell with a 10% discount?
It depends on your margin. At a 50% margin, 10% off needs 25% more units; at a 30% margin it needs 50% more; at a 20% margin it needs 100% more.
Why does my margin drop more than the discount?
Costs stay the same while the price falls, so the whole discount comes out of profit. On a $50 item costing $25, 20% off cuts the margin from 50% to 37.5%.
When is a discount impossible to recover?
When the discount percentage is equal to or greater than your margin, the sale price is at or below cost and extra units add no profit; the calculator then shows “Impossible”.
What is a safer alternative to discounts?
Free gifts, bundles or free-shipping thresholds often cost less margin than a straight percentage off. Compare them with the bundle pricing calculator.
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Last reviewed: Built for: United States, United Kingdom, Canada, Australia Part of Ecommerce & Sellers