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Dropshipping Pricing

WHAT IS IT?

A Dropshipping Pricing campaign reprices your products FROM your product cost, so every discount or markup is profit-safe. The price can NEVER drop below cost (or below the minimum margin you set). It is built for dropshippers and resellers who care about margin, not just a headline discount.

Instead of "20% off the price", you say things like "20% off the margin" or "cost + 25% markup", and the app does the cost-aware math for every product.

HOW IT DIFFERS FROM BULK PRICE UPDATE

Bulk Price Update:

- Math off the selling price, not cost-aware

- No below-cost safety, does not need Cost per item

- Best for flat repricing

Dropshipping Pricing:

- Math off product cost/margin/selling price

- Cost-aware, with profit protection (never below cost)

- Needs Cost per item for margin/cost bases

- Best for margin-controlled dropship catalogs

HOW THE PRICING WORKS

Pick a pricing base from which the new price is calculated:

- Selling price: adjust the current price (e.g., 20% off the price)

- Profit margin: adjust the margin, price minus cost (e.g., 20% off the margin)

- Product cost: build the price up from cost (e.g., cost + 25% markup)

Then pick a direction (increase/decrease) and a type (% or fixed $).

Margin example: Selling price $500, cost $400 → margin $100.

"20% off the margin" = $20 off → new price $480, and you still keep $80 margin.

Two safety nets keep you out of the red:

- Profit protection: never price below cost; optionally enforce a minimum margin ($ or %).

- Price protection: a hard price floor, no product can go below.

For products with no Cost per item, the "no cost" rule determines whether to skip them or apply the change.

WHEN TO USE IT

- Margin-based discount: 20% off the margin: $500 → $480

- Cost-plus repricing: reprice everything to cost + 25%

- Aggressive clearance, still safe: 80% off the margin, never below cost

- Fixed markup: cost + $15 on every product

- Guaranteed minimum margin: discount, but always keep >= $30 margin

- Discount with a price floor: 20% off, never below $30

STEP-BY-STEP: CREATE A DROPSHIPPING PRICING CAMPAIGN

Scenario used in this guide:

Give 20% off the margin on the Wireless Earbuds (selling $500, cost $400) while never selling below cost.

Result: $500 → $480 (margin drops $100 → $80).

Step 1: Go to Create Campaign

From the Discount Prime sidebar, click Campaigns → Create Campaign.

Step 2: Choose Campaign Type

Under the "Pricing" filter, click the Dropshipping Pricing card.

Step 3: Pick a Scenario (Optional)

- Margin discount → margin base, 20% off, profit protection ON (our scenario)

- Reprice from cost → cost base, cost + 25%

- Clearance (profit-safe) → margin-based, 80% off, profit protection ON

- Fixed markup → cost base, cost + $15

- Guaranteed margin → margin base, fixed $30 minimum margin

- Price floor → selling-price base, 20% off, never below $30

Step 4: Name Your Campaign

Enter a name like: Earbuds – 20% Off Margin

Step 5: Select Products

Click Browse products and select the products (or collections/tags/vendors) to reprice.

Step 6: Choose the Pricing Base

Pick Profit Margin (this guide). Then set:

- Direction: Decrease

- Type: Percentage

- Value: 20

Step 7: Make Sure Costs Are Synced

Margin and cost bases need each product's Cost per item (set in Shopify). The campaign shows a cost-sync banner with the last sync time and a "Sync now" link.

- If any products are missing a cost, a warning shows how many (e.g., "3 of 12 products have no cost").

- Click "Review products" to open the Shopify products list and add the missing costs.

Step 8: Set Profit Protection (Recommended)

- Turn on "Don't sell below cost".

- Optionally set a minimum profit fixed (e.g., $30) or percentage (e.g., 10%).

- Choose the "no cost" rule: skip products with no cost, or apply the change anyway.

Step 9: Price Floor (Optional)

For the selling-price base, you can add a hard price floor so no product is ever priced below it.

Step 10: Schedule & Save

Set start/end dates if needed, then click Save. When the campaign ends, prices revert to their original levels.

STEP-BY-STEP: VERIFY THE CAMPAIGN WORKS

Verification:

Earbuds: selling $500, cost $400, margin $100 → 20% off margin = -$20 → new price $480 (keeps $80) → safe

Cable: selling $50, cost $45, margin $5 → 20% off margin = -$1 → new price $49 (keeps $4) → safe

Mystery item: selling $30, no cost → skipped or applied per the "no cost" rule

Step 1: Check the Product Page

Open the Wireless Earbuds page. Price should read $480 (was $500).

Step 2: Confirm the Margin Math

$480 minus $400 cost = $80 margin (down from $100, exactly 20% less). Not $400 (that would be 20% off the price).

Step 3: Verify the Below-Cost Guard

Find a thin-margin product and confirm the discount is clamped so the price never drops below cost or your minimum margin.

Step 4: Verify "No Cost" Handling

Add a product with no Cost per item. Confirm it is skipped (unchanged) or discounted based on the rule you chose.

Step 5: Deactivate and Verify Reversion

Deactivate the campaign and confirm all prices revert to the original.

TIPS & COMMON MISTAKES

- Set costs first. Without the cost per item in Shopify, the margin/cost bases cannot be computed. Use "Sync now" after editing costs, and watch the "no cost" warning.

- Margin off is not price off. "20% off the margin" on a $500/$400 item is only $20 off, not $100. That is intentional: it protects your profit.

- Always keep profit protection on. It is the whole point of this campaign type. Turning it off lets aggressive discounts turn into losses.

- Pick the "no cost" rule deliberately. "Apply" on a cost-based markup can produce strange prices for products with no cost; "skip" is the safe default.

- Reversible. Like Bulk Price Update, ending or deactivating the campaign restores original prices.

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