A larger order can spread setup and digitizing across more pieces. It may also fill a machine cycle more efficiently. Those are real reasons for a lower price per item. Choosing a discount percentage first can obscure whether the order still pays.
Keep rates fixed and change quantity
For a useful comparison, keep the design, head count, materials, rates, and handling time unchanged. Recalculate cycles and total cost at each quantity. If your supplier has a confirmed volume price for blanks, enter that price as a separate scenario.
| Sample quantity | Unit price | Order price | Margin |
|---|---|---|---|
| 6 | $23.50 | $141.00 | 30.0% |
| 12 | $19.50 | $234.00 | 30.8% |
| 24 | $17.50 | $420.00 | 31.3% |
| 48 | $16.50 | $792.00 | 31.4% |
| 96 | $16.00 | $1,536.00 | 31.6% |
These examples use the 24-polo calculator sample with one head. They demonstrate the model and do not set a retail price list. The unit rounding increment is $0.50.
Use a margin floor
Your break-even price covers only the costs and payment fees entered. The target-margin price retains the margin you selected. They are different numbers: an order can make a positive profit and still fall below your target.
Margin = profit ÷ pre-tax sales
The quantity planner’s discount check rounds the discounted unit price to cents, calculates the new order amount, and shows its resulting margin. A loss appears separately from a price that merely misses your target.
Watch the last cycle
Full-cycle rounding can create small steps in the price curve. Increasing quantity does not guarantee a lower unit cost at every single quantity. A threshold that triggers an additional machine cycle can temporarily raise cost per item.
Confirm what the discount includes
- One design or several designs?
- The same embroidery position on every piece?
- Blanks supplied by you or by the customer?
- One collection or split deliveries?
- Payment in one transaction or multiple charged transactions?
Keep these assumptions on the customer quote. A low headline price is only useful when both parties agree on the scope.