Once logged into Sku Grid, Navigate to Settings...Marketplaces... Amazon...US or UK. Scroll down to the area that says Calculating Amazon's Selling Price.
You will see a blue button that says Switch to Wizard View and below that will be your Selling Price Formula -- it's a very long formula. Most people will not want to manually type out a formula as it's very easy to make human error. It is always best to work from within the formula wizard.
Click the Switch to Wizard View button. Start by filling in the variables that you know.Vendor Tax is the amount that you would like factored in to your prices in the event that your supplier charges sales tax and you want to be able to cover it instead of taking a loss. Depending on the suppliers that you use, you may or may not want to factor in Vendor Tax as some stores only charge sales tax in a minimal amount of states. But if you do want to factor Vendor Tax into your formula, enter a number here. Most sales tax ranges from 5-10%. In this example, we will enter 8. Keep in mind, using this example, if we enter 8 but when we purchase an item from the supplier and based on the buyer's address, the sales tax is actually 9%, it will cut into our profits or you may end up taking a loss if you are not factoring in enough vendor tax. Remember vendor tax is calculated based on supplier cost and not your selling price.Next, we will go down and enter our Fees.
There are no PayPal Fees when doing business on Amazon. Amazon typically charges 15% for their selling fees. In the PayPal/Amazon Fees % field, enter 15.Next, is PayPal/Amazon Fees $. You can set this to 0 or Leave it blank in most instances. However, if there is some set transaction fee that you incur for your Amazon sales you can enter it here. Selling/Other Fees % would be left blank or set to 0 in certain circumstances, unless perhaps, you're paying a VA a certain percentage of your sales amount as an example.Now that the fees are taken care of, we can go and work on our profit margins.
We're going to be working within the Margin % Field and Minimum Margin $ fields to set a Profit Margin. For Margin %, enter the amount of profit you would like to take home after your fees are taken care of. Remember, that your profit margin % is calculated based on supplier price. For example, if you were listing an item that cost $100 at the supplier and you wanted to receive a 10% profit after fees, you'd be expecting to receive a profit of $10. Enter your desired profit margin percentage here. Minimum Margin should also be filled out. Your minimum margin is the least amount of money you would like to receive as profit should a cheap item sell or an item's price drops too low. Still considering the $100 supplier item example, if you had your margin % set at 10, then you'd be expecting a $10 profit...however, if you listed an item that was $10 at the supplier, 10% of that item would yield a $1.00 profit. So this is where your minimum margin would kick in to slide the selling price of your item up to give you the minimum acceptable profit. Enter your desired minimum profit margin here.
Now that you've filled out everything that is necessary to create your default selling formula, you can click on Estimate Price. Enter in an example supplier cost (we'll use 100 for easy math). Click OK. Sku Grid will then show you what it would price the item to using the formula that you just created. Click OK again to close that pop up.Once satisfied with your formula, click the Close Button to close the Wizard.Scroll down to the bottom of the page and save settings.