What pricing structure should producers, wholesalers, and retailers use to ensure adequate margins at each level in the spirits supply chain?

Members shared a community-created pricing model spreadsheet that maps out margin requirements across the supply chain when working backwards from a retail RRP.

**Key resource:** The community maintains a shared Google spreadsheet that calculates required COGS, wholesale, and retail price points based on a target RRP and desired margin percentages at each level. This allows producers to determine what manufacturing cost they need to hit to ensure wholesalers and retailers each take their cut.

**Important consideration:** The spreadsheet uses markup calculations for wholesale pricing (e.g., dividing by 1.2 to reflect a 20% markup), which differs from the margin calculation method used for retail. Members note this distinction matters—markup and margin are calculated differently. Clarify whether your business model thinks in terms of markup or margin percentage, as this affects how you apply the formula.

**Access:** Request the current version from the community (the spreadsheet link is maintained collectively and may be updated). Members are actively refining the model and discussing the mechanics, so asking in the group will get you the latest version with any corrections applied.

**Caveats:** The calculations assume standard VAT treatment and work backwards from RRP. The exact margins required may vary by channel (independent retailers vs. multiple retailers), product category, and distribution method, so treat the model as a framework to adapt rather than a fixed rule.