Buy 2 Get 1 Free Calculator
A gentler multi-buy mechanic than classic BOGO — customers pay for 2 units and receive a 3rd free, an effective 33.3% discount on merchandise value.
Contribution profit per order
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Customer pays
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Margin
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Effective discount
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vs. one regular-price sale
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Volume uplift needed
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How it works
Formulas used
Revenue = 2 × Unit price Units delivered = 3 Product cost = 3 × Unit cost Effective discount = 1 − (2P / 3P) = 33.33%
Worked example
$30 unit price, $8 unit cost, no fees:
- Revenue: 2 × $30 = $60 for 3 units
- Product cost: 3 × $8 = $24
- Contribution profit: $60 − $24 = $36 (margin 60.0%)
Buy 2 Get 1 Free is generally less profit-damaging per order than classic BOGO, since only one-third of units are given away rather than half.
Related calculators
Frequently asked questions
How does this compare to a straight 33% discount?
They can have similar effective discount percentages, but Buy 2 Get 1 Free requires a 3-unit basket, which changes both unit economics and typical order value.
Assess a three-unit offer as a bundle
Buy 2 Get 1 Free creates a 33.3% merchandise discount, but the real margin depends on all three unit costs and the order-level fees. It can outperform classic BOGO when the higher basket requirement is realistic.
Validate the basket
- Compare the three-unit contribution with the profit from the customer’s normal basket.
- Measure how many shoppers already buy two units without an incentive.
- Test whether a fixed-price three-pack communicates value more clearly.
Before publishing
- The free unit still carries product, pick, pack and possible shipping cost.
- Mix-and-match rules can shift buyers toward the most expensive eligible item.
- High basket thresholds can reduce conversion even when the unit economics look good.