To help you manage pricing and track margins more efficiently, your Schedule's Financial view automatically calculates your costs, client pricing, savings, and profit, as you input costs on your Schedule.
Here’s a handy guide that walks you through how these calculations work, and our best practices for setting them up.
Step 1: Required Inputs
When adding product costs in Programa, the key required fields are RRP (Recommended Retail Price) or Trade Price, alongside Quantity.
Firstly, let’s understand what each one of them represents:
RRP (Recommended Retail Price) | Enter the full retail price the client would pay if purchasing directly from the supplier |
Trade Price | This is your cost as a designer or retailer. Input the amount you pay for the product |
Quantity | Enter how many units of the item you need. This is essential for accurate cost and total pricing calculations |
💡 You can choose to input both RRP and Trade Price, or just one of them. This choice will reflect on how your pricing is calculated. Follow the breakdown below to see how these inputs will affect your calculation.
Trade Price + Quantity
Your Cost and Client Price will be automatically calculated based on the Trade Price provided.
RRP + Quantity
Your Cost and Client Price will be automatically calculated based on the RRP provided.
Trade Price AND RRP + Quantity
Your Trade Discount, Cost, Client Savings, and Client Price will be automatically calculated based on the Trade Price provided.
Step 2: How each field is calculated
Once you've entered the required fields outlined above, your Cost, Client Price, and Client Savings will be automatically calculated for you.
Here’s a quick breakdown of how each field is calculated:
Cost | This field calculates the total cost based on the Trade Price (or RRP if no Trade Price is present) and Quantity. |
Client Price | The price at which you sell the product to your client, calculated based on the Markup or entered directly |
Client Savings | Shows the discount percentage your client receives off the RRP, calculated automatically. If the savings are <0%, this field will be hidden from client view. |
Profit | The difference between the cost to you and the price to your client, calculated to help you understand your margin. |
Cost Calculation
Trade Price + Quantity
If you’ve entered a Trade Price of $100 and a Qty of 5, your total Cost will be calculated as:
$100 (Trade Price) × 5 (Quantity) = $500
RRP + Quantity
If you’ve entered an RRP of $200 and a Qty of 5, your total Cost will be calculated as:
$200 (RRP) × 5 (Quantity) = $1,000
Trade Price AND RRP + Quantity
If you’ve entered both the Trade Price and the RRP, your total Cost will be calculated using the Trade Price × Quantity, since the Trade Price reflects your actual purchase cost:
$100 (Trade Price) × 5 (Quantity) = $500
Client Price Calculation
You can enter this cost manually, or let Programa calculate it automatically based on your inputs.
You can also choose to add a Markup %, which will be applied on top of either your Trade Price or RRP (if no Trade Price is set).
If you’ve entered a Trade Price, the Markup will be applied to this (not the RRP).
Here’s an example:
Client Savings Calculation
The discount your client is getting compared to the RRP. This field is automatically calculated and only shown to clients if the savings is positive, that means, greater than 0%.
Here’s an example:
If the RRP is $200 and you sell it to your client for $150 (Client Price), the savings is 25%.
Profit Calculation
Your earnings from the sale: the difference between what it costs you and what you charge your client. Profit = Client Price - Cost.
💡 Please note that this can change depending on your Trade Price and/or RRP inputs.
Here’s an example:
If the cost is $500 and you apply a 10% markup (which equals $50), your client price will be $550. In this case, your profit is $50, the difference between your cost and the client price.
Trade Discount Calculation
Calculated based on the difference between your Trade Price and RRP costs. Both values need to be entered for this calculation to work.
A few more examples for you:
If you’d like to learn more about our Pricing and Quoting feature, check out our Pricing & Quoting FAQs guide or reach out to our friendly support team on the live chat below.