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Marketing Plan Pricing Approach

Marketing Plan – Main Pricing Approach

Cost-Based Pricing
Shanti Spa will apply a 40% mark-up, from cost, on all services which will in turn allow for an average 29 % profit margin.

Profit Margin Calculator Results
For the services below the average gross margin is 28.57%. This represents an average selling price of $55.14.
Results Summary
Product
Name Wholesale
Cost Markup
percent Selling
price Gross Margin
$ Gross Margin
%
Ananda Pedi $48.84 40.00% $68.38 $19.54 28.57%
Ananda Mani $50.11 40.00% $70.15 $20.04 28.57%
Paraffin Wraps $35.12 40.00% $49.17 $14.05 28.57%
CdMP Facial $22.60 40.00% $31.64 $9.04 28.57%
Holistic Facial $43.84 40.00% $61.38 $17.54 28.57%
Facial Glow $42.42 40.00% $59.39 $16.97 28.57%
Body Scrub $34.37 40.00% $48.12 $13.75 28.57%
Algae Wrap $55.16 40.00% $77.22 $22.06 28.57%
Waterfall Thal. $25.53 40.00% $35.74 $10.21 28.57%
Ritual Massage $35.87 40.00% $50.22 $14.35 28.57%
Product Averages: $39.39 40.00% $55.14 $15.76 28.57%......


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Approximate Word Count: 781
Approximate Pages: 4 (250 words per double-spaced page)

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