Health & Beauty
Health & Beauty Gross Margin Benchmark
Gross margin measures the percentage of revenue remaining after subtracting cost of goods sold. This page provides health & beauty-specific ranges, drivers, and improvement tactics.
Typical Range
40–50%
Industry Average
45%
Formula
((Revenue − Cost of Goods Sold) ÷ Revenue) × 100
Why this benchmark looks like this in Health & Beauty
- Strong private label opportunity
- Trend volatility
Industry context: Trend-sensitive, private label opportunity.
How to improve gross margin in Health & Beauty
- Build prestige assortment with vendor MAP
- Track new-launch sell-through weekly
Universal drivers
- • Pricing strategy
- • Markdown discipline
- • Vendor cost negotiation
- • Mix shift toward higher-margin SKUs
- • Private label penetration
Gross Margin across other retail industries
Calculate Your Gross Margin
Gross Margin Calculator
Calculate gross margin percentage from revenue and cost. Essential for pricing, profitability analysis, and reporting.
Open calculator
Markup Calculator
Calculate markup percentage from cost and selling price. Useful for pricing decisions and category planning.
Open calculator
Markdown Calculator
Calculate markdown percentage and dollar savings for any retail price reduction.
Open calculator
Deep-Dive Guides
What Is Gross Margin? A Complete Guide for Retailers
Gross margin is the single most-quoted profitability metric in retail. This guide explains the formula, benchmarks by category, and the practical levers that move it.
Gross Margin vs Markup: The Difference Every Retailer Must Know
These two numbers are not the same — and confusing them is the most common pricing mistake in retail. Here is a clear, example-driven breakdown with a conversion chart.