Markup
Markup measures profit relative to cost. A 50% markup on $10 produces a $15 price.
Margin
Margin measures contribution relative to selling price. A 50% margin on $10 cost requires a $20 price.
Use contribution margin
For channel decisions, include relevant variable costs and percentage fees rather than looking only at ingredients.
Use your own operating data
Supplier prices, yields, labor rates, and channel fees change. KitchenMargin treats them as editable inputs rather than universal facts.