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Marketing & Sales

Discount Break-Even Calculator

Before you cut a price, find out how much more you must sell to keep the same profit. Enter your margin and discount % to get the break-even volume uplift, minimum extra orders and the maximum sustainable discount.

Updated: June 2026
No registration Instant calculation Data stays in browser

Results

New margin % after discount56.25 %
Volume uplift needed to break even44.44 %
Minimum incremental orders133.33
Max sustainable discount (margin ≥ 0)65 %

New margin% = (margin% − discount%) / (1 − discount%). BE uplift% = discount% / (margin% − discount%) × 100. Min orders = volume × uplift. Max discount = gross margin.

Demanding: you need 44.44% more volume (≈ 134 orders) just to stand still.

  • Prefer bundles and upselling over flat discounts: they lift the ticket instead of eroding margin.
  • Limit the promo to weak slots (dead hours/days) or new customers, not the whole menu.
  • Work on perceived value (portion, presentation, pairing) to justify the full price.
Next step
  • Dish marginCheck the margin you're discounting from.
  • Food costLower the cost that sets your margin.
150 persone trovano utile questo calcolatore

Discount Break-Even Formula

New margin % =
    (Margin % - Discount %) / (1 - Discount %)

Break-even uplift % =
    Discount % / (Margin % - Discount %) x 100

Minimum extra orders =
    Current volume x Break-even uplift %

Maximum sustainable discount % = Margin %

Example: 20% Discount on a 65% Margin

  • Margin: 65%  |  Discount: 20%
  • Break-even uplift: 20 / (65 − 20) = +44.4% volume
  • Current volume: 300 orders/month
  • Minimum extra orders: 300 x 0.444 ≈ +133 orders
  • Maximum sustainable discount: 65% (margin to zero)
Risposte rapide

Direct answers

Why does a discount need a volume increase to break even?
A discount lowers the margin you earn on every sale, so you must sell more units to recover the same total profit. A 20% discount on a product with a 65% margin does not just cost 20% of profit; it cuts the per-order margin from 65% to about 56%, which means you need a 44% increase in volume just to stand still. This calculator turns the discount into the exact uplift you need.
How is the break-even uplift calculated?
Break-even uplift % = discount % / (margin % - discount %) x 100. With a 65% margin and a 20% discount that is 20 / (65 - 20) = 44.4%. Multiply that uplift by your current volume to get the minimum number of extra orders the discount must generate before it adds a single euro of profit.
What is the maximum discount I can sustain?
The maximum sustainable discount equals your margin %. If your margin is 65%, a 65% discount drives the new margin to zero, and any deeper discount means you lose money on every order regardless of volume. The closer the discount gets to your margin, the steeper the volume uplift required, which is why deep discounts are so dangerous.
What is the new margin after the discount?
New margin % = (margin % - discount %) / (1 - discount %). It expresses the margin you keep on each discounted order as a percentage of the new, lower price. Watching this number stops you from chasing volume that can never cover the lost profit.
Does this apply to delivery platform discounts too?
Yes. Any forced markdown behaves the same way, whether it is a happy-hour offer, a coupon or a platform promotion. Treat the platform discount as the discount % and your dish margin as the margin %, and the calculator tells you how much extra volume the platform deal must bring before it is worthwhile.
Quick answers

Frequently Asked Questions

Why does a discount need a volume increase to break even?

A discount lowers the margin you earn on every sale, so you must sell more units to recover the same total profit. A 20% discount on a product with a 65% margin does not just cost 20% of profit; it cuts the per-order margin from 65% to about 56%, which means you need a 44% increase in volume just to stand still. This calculator turns the discount into the exact uplift you need.

How is the break-even uplift calculated?

Break-even uplift % = discount % / (margin % - discount %) x 100. With a 65% margin and a 20% discount that is 20 / (65 - 20) = 44.4%. Multiply that uplift by your current volume to get the minimum number of extra orders the discount must generate before it adds a single euro of profit.

What is the maximum discount I can sustain?

The maximum sustainable discount equals your margin %. If your margin is 65%, a 65% discount drives the new margin to zero, and any deeper discount means you lose money on every order regardless of volume. The closer the discount gets to your margin, the steeper the volume uplift required, which is why deep discounts are so dangerous.

What is the new margin after the discount?

New margin % = (margin % - discount %) / (1 - discount %). It expresses the margin you keep on each discounted order as a percentage of the new, lower price. Watching this number stops you from chasing volume that can never cover the lost profit.

Does this apply to delivery platform discounts too?

Yes. Any forced markdown behaves the same way, whether it is a happy-hour offer, a coupon or a platform promotion. Treat the platform discount as the discount % and your dish margin as the margin %, and the calculator tells you how much extra volume the platform deal must bring before it is worthwhile.

Italian version: Calcola break even sconto

Results

New margin % after discount56.25 %
Volume uplift needed to break even44.44 %
Minimum incremental orders133.33
Max sustainable discount (margin ≥ 0)65 %

New margin% = (margin% − discount%) / (1 − discount%). BE uplift% = discount% / (margin% − discount%) × 100. Min orders = volume × uplift. Max discount = gross margin.

Demanding: you need 44.44% more volume (≈ 134 orders) just to stand still.

  • Prefer bundles and upselling over flat discounts: they lift the ticket instead of eroding margin.
  • Limit the promo to weak slots (dead hours/days) or new customers, not the whole menu.
  • Work on perceived value (portion, presentation, pairing) to justify the full price.
Next step
  • Dish marginCheck the margin you're discounting from.
  • Food costLower the cost that sets your margin.
150 persone trovano utile questo calcolatore