To create your default selling price formula for your Shopify items, you'll need to configure your Price Settings in Sku Fetch.
1. Log into Sku Fetch at https://app.skufetch.com
2. Under Workspace Settings, click on Price Settings.
Sku Fetch has 2 different types of formula wizards/calculators. The first is the Easy Price Wizard and the second is the Advanced Formula Wizard. The Easy Price Wizard allows you to set a break even and a profit markup. The Advanced Formula Wizard allows you to break down all variables for your formula and/or write your own complex formulas. If you're using Sku Grid, the Easy Price Wizard creates formulas a little differently, so when your items export to Sku Grid, they will always come over with an override formula. If you choose to use the Advanced Formula Wizard, we recommend that, by default, you make the values in your formula wizard in Sku Fetch match exactly the values that you have in your Sku Grid formula wizard in your Shopify Marketplace Settings. That way, you will avoid accidental overriding and will only override your formula when you intend to do so.
3. If you want to use the Easy Price Wizard (shown above), enter the values for the formula fields.
Default Break Even Percentage - This is a markup that is applied on top of the Selling Price of the item and is whatever is necessary to break you even (produce a 0 profit). In most cases, this is used for your Payment Processing Fees, which are typically 2.9% for Paypal + a $0.30 transaction fee. So you may want to round up to 3%. This would cause your selling price to be high enough to pay for your PayPal fees calculated based on the selling price of the item (not the supplier cost). You can enter whatever value here that you're comfortable with.
Desired Profit Percentage - This is the amount of profit that you would like to bring home after your fees are taken care of. Profit percentage is calculated based on the supplier item cost, not selling price. So for example, if you would like a profit of 10% after fees, then you would enter 10 here. Please note: If you normally factor in sales tax that you pay to a supplier, then you should also add that into this field so that it is calculated based on supplier item cost.
Include Supplier Shipping - This is a Yes or No option. Select Yes, if you want to factor in a supplier's shipping cost (if known) into the pricing of your items or select No if you do not. Please note: We can only factor in shipping costs when they are known (i.e. visible on the supplier's product page or if they use flat rate or tiered shipping that is seen on their shipping terms pages). If a supplier uses what's known as "Calculated Shipping", you'd need to mark up your formula higher to account for it.
Once done, you can either click Test Price to test the formula or click Save. If you prefer to use the Advanced Formula Wizard, click on the Advanced Formula Wizard tab and we'll show you that in the next steps below.
4. If you're wanting to use the Advanced Formula Wizard, as mentioned before, we recommend entering the same values that you have in your Sku Grid default formula wizard.
When using the Advanced Formula Wizard, all you have to do is plug in the values that you want to use for each field. Below is a description of each field. Do not leave any fields blank. Enter 0 if you do not want to use a certain field.
Vendor Tax % - This is the percentage that you want to mark up the item for possible sales tax that you might have to pay. Vendor tax is calculated based on the supplier's item cost. If you do not want to mark up for vendor tax, then enter 0; otherwise, enter the a numeric value.
Margin % - This is the amount of profit that you want to take home after all fees and vendor tax are considered. Margin % is calculated based on your supplier's item cost. If you do not want to use this field, enter 0. Otherwise, enter a numeric value. Please note, you cannot use negative Margin % values.
Fixed Margin $ - This is a dollar amount for profit that you want to take home in addition to whatever you have in margin %. If you do not want to use this field, enter 0. Otherwise, enter a numeric value.
Minimum Margin $ - This is the lowest amount that you would like to take home for profit (in dollar amount). This is only really relevant when selling low cost items and you're using margin %. For example, you're set up to bring home 10% profit margin, and you're selling a $100 supplier item, you'd expect your profit to be $10. But if you were selling a $10 supplier item, the profit would only be $1. This is where minimum margin kicks in. If, you had a minimum margin of $2, for example, on the $100 item, the minimum margin is ignored, because you're already profiting more than that amount. But on the $10 supplier item, your selling price would be increased so that you bring home a profit of $2 instead of $1. If you do not want to use this field, enter 0. Otherwise, enter a numeric value.
PayPal Fees % - Here you would enter your merchant fee percentage for processing your payments. If you're using PayPal, it's typically 2.9%, but could be higher if you are an international seller or have other circumstances. Enter your PayPal Fee Percentage here or enter 0 if you do not want to use this field. It is calculated as a percentage of your selling price, not supplier price.
Paypal Fees $ - Paypal's transaction fee is typically $0.30. Enter your transaction fee or enter 0 if you do not want to use this field.
Ebay Fees % - You can enter 0 here as you will not have any eBay fees since you're selling on your own website. However, if you have any other sort of percentage based fees that are calculated on the selling price of an item (i.e. you pay a partner a percentage that an item sells for, etc.), then you can enter that number here to mark up the item for that. This field is calculated based on the selling price of the item, and not the supplier price.
Manual Override - This is a Yes/No option. In most cases you will want to leave it at No. If you set it to Yes, what you're doing is causing Sku Fetch to ignore the numbers you are putting into the formula wizard and you will need to write your own complex, long formula in the formula box below the wizard.
Include Supplier's Shipping in Calculations - This is a Yes or No option. Select Yes, if you want to factor in a supplier's shipping cost (if known) into the pricing of your items or select No if you do not. Please note: We can only factor in shipping costs when they are known (i.e. visible on the supplier's product page or if they use flat rate or tiered shipping that is seen on their shipping terms pages). If a supplier uses what's known as "Calculated Shipping", you'd need to mark up your formula higher to account for it.
5. Once you are done, you can test your formula. Then click Save to save your Advanced Formula Wizard.
A few special notes:
1. You can set a formula for 1 general markup over supplier cost by enter 0's for all formula fields in the Advanced Formula Wizard and entering your overall markup in the Margin % field. (For example, some people just want an overall markup for 40%, so they would enter 40 for Margin % and 0 for all other formula fields).
2. You can set formulas in dollar amounts instead of percentages. To do this, you would enter all formula fields as usual, but instead of defining profit in Margin %, you would enter 0 there and just use the Fixed and Minimum Margin $ fields. Both should be the same.
3. You can set negative margins. This would be done by setting negative dollar amount margins in the Fixed and Minimum Margin fields. You cannot use negative numbers for Margin %. All other formula fields would be as usual. If you're using negative margins that would cause you to have prices lower than your supplier costs, be sure to also enable that feature in your Sku Grid General Repricer Settings. Ignore, if you're not doing negative margins.