The Markup Calculator — Really Renée
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Procurement Profit

The Markup Calculator

Most designers mark up product at 10–15% — or pass it through at cost as a "favor." Here's what that quietly costs you every year, and what changes when you price procurement like the profit center it is.

$50,000
The product you procure for a typical project — furniture, lighting, materials.
8
15%
30%
Profitable firms typically charge 25–35%.
You're leaving on the table
$60,000
every year — just from procurement markup.
Current annual procurement profit
$60,000
At a healthy markup
$120,000
Difference per project
$7,500
Over 5 years
$300,000

Close the gap

Three moves that get you there

You don't need more clients to earn this. You need to price procurement on purpose.

1

Set a tiered markup — not one flat number

Different categories carry different risk and effort, so they earn different markups. Here's a healthy starting framework:

CategoryHealthy markup
Furniture & lighting25–30%
Appliances, cabinetry, flooring (high-risk, high-reward)30–35%
Accessories & décor35–50%
Custom & workroom35%+

The high-risk categories (appliances, cabinetry, flooring) scare people off — but they carry the most logistics, damages, and returns, which is exactly why they should pay you the most. Don't avoid them; price the risk in.

2

Source trade-first, not retail

Retail brands like Pottery Barn or West Elm usually give the trade only 15–20% off retail — a true trade source is often 30–50% off. Defaulting to retail names quietly caps your margin before you've marked anything up. Build real trade-vendor relationships and the whole equation changes.

3

Position it as a service, not a favor

Clients don't push back on markup when they understand what it covers — curation, sourcing, logistics, damage claims, returns, and your accountability. Say it plainly:

"My procurement includes sourcing, ordering, tracking, and managing every piece — plus handling anything that arrives damaged or wrong. It's a service, and it's priced as one. You get one point of contact and one person accountable for it all."

That gap is the whole ballgame.

No new clients. No more hours. Just pricing procurement correctly. Episode 5 of Really Renée walks through exactly how to do it — and how to position it so clients never blink.

A free tool from Really Renée — the real business of interior design.