Markup

Markup refers to the amount added to the cost price of goods or services to determine their selling price. It is often expressed as a percentage of the cost price and covers costs, labor, and profit margins. In programming, 'markup' can also refer to the structural elements of a document, such as HTML tags used in web development.

Markup meaning with examples

• The store applied a substantial markup on winter clothing, raising prices significantly compared to the previous season, which resulted in higher sales but also drew criticism from customers who felt the prices were unfairly inflated.
• To remain competitive, the startup decided to keep the markup on their eco-friendly products low, attracting environmentally conscious consumers who are often willing to pay more but appreciate value.
• In his accounting class, he learned that understanding markup is crucial for businesses to calculate their final prices, ensuring they cover costs while remaining appealing to their target market.
• The fashion retailer uses a standard markup formula to price their items, which involves adding a specific percentage to the wholesale cost to set a final retail price that customers will find both attractive and profitable.
• While developing the new mobile app, the team focused on user interface design, making sure that the markup in the code was clean and organized, allowing for easy updates and scalability in future versions.