Every slot in the machine earns a different margin. Subtract the cost from the vend price and divide by the price, and you can see which products actually pay for the route.
Water at $1.00 costing $0.25 runs a 75% margin; a $1.50 soda at $0.55 runs about 63%.
The example
Three products, each with a vend price and a unit cost.
| A | B | C | D | |
|---|---|---|---|---|
| 1 | Product | Vend price | Unit cost | Margin % |
| 2 | Soda | $1.50 | $0.55 | 63.3% |
| 3 | Chips | $1.25 | $0.45 | 64.0% |
| 4 | Water | $1.00 | $0.25 | 75.0% |
The formula
The gross profit over the price gives the margin:
How it works
Margin is profit as a share of the price:
B2-C2is the gross profit per unit — vend price minus what it cost you.- Dividing by the price
B2expresses that profit as a percentage. - Format the cell as a percent to read it at a glance.
Margin uses the selling price as the base; markup uses cost — do not mix them or the numbers will not match your P&L.
Try it: interactive demo
Enter the vend price and your unit cost.
Variations
Profit in cents
Show the per-unit profit instead of the percentage.
Weight by units sold
Get the blended margin across a slot's sales.
Pitfalls & errors
Divide by the price, not the cost. Dividing by cost gives markup, a larger number that will not tie to your revenue.
Load the true landed cost — case price plus tax and the drive to the warehouse — or the margin reads better than it lives.
Practice workbook
Frequently asked questions
What is the difference between margin and markup?
What margin should a vending item hit?
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