Tiered Volume Discount Calculator
"Buy more, save more" tiers are common in B2B and bulk ecommerce. Enter up to three tiers and see exactly which one applies and what it costs in profit.
Contribution profit for this order
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Applied tier
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Customer pays
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Margin
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Regular value
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Tier 1 must start at quantity 1 (your base, possibly 0%, price). Each higher tier's discount applies to the entire order once its minimum quantity is met — not just the units above the threshold.
How it works
Formulas used
Applicable tier = highest tier whose min qty ≤ order quantity Revenue = Regular price × Quantity × (1 − Applicable tier discount%) Contribution profit = Revenue − (Quantity × Unit cost) − Fees
Worked example
$10 price, $4 cost, tiers 1+/0%, 3+/10%, 6+/20%, ordering 6 units, no fees:
- Applicable tier: 6+ units, 20% off
- Revenue: $10 × 6 × 0.80 = $48
- Contribution profit: $48 − (6 × $4) = $24 (margin 50.0%)
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Frequently asked questions
Does the discount apply to just the units above the threshold, or the whole order?
This calculator applies the tier discount to the entire order quantity once the threshold is met — the most common "buy more, save more" structure. A per-unit marginal-tier model would need a different formula.