A 50% profit margin means that half of your revenue is profit and half covers costs. For example, if you sell a product for $100 and it costs you $50, your margin is 50%. This is equivalent to a 100% markup on the cost.

Software, digital products, and professional services often achieve or exceed 50% margins. Physical product businesses can reach 50% margins with premium positioning, private-label products, or direct-to-consumer models that eliminate middleman costs.

Simply double your total cost per unit. If your all-in cost is $30, price at $60 for a 50% margin. Remember to include all costs — materials, labor, shipping, and overhead allocation — not just the raw product cost, to ensure your target margin is truly achieved.