Facebook RSS Reset

10 Examples of High Margin Products

1. Jewelry

gold diamond ring, expensive jewelry

It is hard to budget with jewelry.  Retail jewelers can markup their products anywhere from 100% or more.

2. Art

framed painting for sale, painting of a street, typical cityscape oil painting

In general, quality art in your local gallery can be marked up anywhere from 50% to 500% of what the artist sells it to them.

3. Razors

razor blade, gillette razor blade, blue razor blade

The razors have to fit the stick, and that is why companies such as Bic and Gillette can afford to charge high markups for their branded razor products.

4. Printer Ink

print ink colored cartridges, printer ink cartridges

Similar to razors, the ink cartridge must fit the printer so companies are able to charge very high margins for these products.  Printer ink accounts for approximately 16% of the market cap of HP a computer giant for example.  Link

5. Software

windows 8 boxes, windows 8 pro boxes, windows software

Although software companies take on a lot of risk and competition, the successful ones do typically sell for a generalized 20-40% margins.

6. Information

ebook reader, ebook kindle reader, newspaper article on ereader

Now that information can be digitally sold the cost is very minimal so the distributors are able to charge decent prices without the cost of physical distribution.

7. Cosmetics

 mac makeup cosmetics, colorful makeup set, mac lipstick and mascarra

Retail markups for cosmetics is usually around 50%, doubling the cost for the average consumer.

8. Pharmaceuticals 

picture of pills, pile of pills, colorful pills

Although the industry has many restrictions and regulations, high prices are not one of them.  Markups of certain medications can be in the 1000’s% when looking at retail cost vs. cost of the active ingredients.

9. Beverages

beer and wine bottles, beer bottles, colorful beer bottles

Margins are large across the beverage industry.  From water bottles to branded fruit drinks to expensive wine, the retail markup is quite large.

10. Mattresses 

pile of stacked bed mattresses, bed mattresses, white bed mattress, stack of beds