How to Price Products for Social Media Selling: Costs, Margins, Bundles and Discounts
Guessing prices is the quickest way to stay busy and still lose money. This guide walks through costs, margin, delivery, fees, bundles and discounts with worked examples in RM.
By Khairul Azahar Sharriffuddin · Published
Key takeaways
- Price from your full cost per unit: ingredients or stock, packaging, a share of overheads, your own time and any payment fees, not just what the materials cost.
- Margin and markup are different numbers. A 50% markup is only a 33% margin. Decide on a target margin and work backwards to the price.
- Choose one clear way to handle delivery (charged separately, a free-delivery minimum or built into the price) and state it before customers message you.
- Discounts cut profit much faster than they cut the price. Test the maths first, and prefer bundles, free-delivery minimums or small extras.
- Show every price on your page, round them consistently and review them whenever your costs change.
In this guide
"How much should I charge?" is one of the hardest questions for anyone selling on Instagram, TikTok or WhatsApp. Price too high and the comments fill with "mahal". Price too low and you stay busy every weekend while your bank balance barely moves. This guide shows you how to price products step by step: count your real costs, choose a margin, handle delivery and fees, and plan bundles and discounts that do not quietly eat your profit.
All the numbers below are made-up examples to show the maths. Use them as a pattern, then plug in your own costs.
Why pricing is different when you sell on social media
Selling from your social profiles changes a few things compared with a shop or a marketplace:
- Customers compare quickly. They can scroll past several sellers of similar products in a minute, so your price has to make sense at a glance.
- Costs are easy to forget. When you buy ingredients at the pasar, packaging online and pay the courier per parcel, the true cost per unit is spread across many receipts.
- Your time is part of the product. Replying to chats, packing and arranging delivery all take hours that rarely show up in the price.
You do not need an accountant to price well. You need one honest spreadsheet (or a notebook) and the steps below.
Step 1: Work out your full cost per unit
Your price starts with what one unit really costs you. Split it into four parts.
Direct costs
Everything that goes into the product itself: ingredients, fabric, stock you buy from a supplier, printing. Divide a batch's cost by the number of units it makes.
Packaging
Jars, labels, boxes, bubble wrap, stickers, thank-you cards and the tape that holds it together. Packaging is small per unit but it adds up, and it is the cost sellers most often leave out.
A share of overheads
Gas, electricity, phone data or a share of kitchen rental. Estimate a monthly total and divide by the units you sell in a typical month.
Your time
If you do not pay yourself, your price is hiding a loss. Decide what an hour of your time is worth and divide by how many units you make in that hour, including packing and replying to orders.
Here is a worked example for a home seller making sambal in 250 g jars, in batches of 20.
| Cost | Per batch of 20 | Per jar |
|---|---|---|
| Ingredients | RM84.00 | RM4.20 |
| Jar, lid and label | RM36.00 | RM1.80 |
| Packing materials | RM16.00 | RM0.80 |
| Gas, power, data (share) | RM8.00 | RM0.40 |
| Your time (4 hours at RM15) | RM60.00 | RM3.00 |
| Full cost | RM204.00 | RM10.20 |
Without the time line, the jar looks like it costs RM7.20. With it, RM10.20. Selling at RM12 would feel profitable while paying you very little.
Tip: Keep receipts for one full batch and write the numbers down the same day. A real batch beats a guess every time, and you only have to do it again when a supplier changes its prices.
Step 2: Understand margin vs markup
Two words get mixed up constantly, and the mix-up costs sellers money.
- Markup is your profit as a percentage of your cost. Cost RM10, price RM15: profit RM5, markup 50%.
- Margin is your profit as a percentage of your selling price. Same product: RM5 out of RM15, margin 33%.
The same profit gives a smaller margin than markup, every time. If you aim for "50%" but calculate it as markup, your real margin is only a third of the price.
| Price | Profit | Markup (on cost) | Margin (on price) |
|---|---|---|---|
| RM15.00 | RM5.00 | 50% | 33% |
| RM16.67 | RM6.67 | 67% | 40% |
| RM20.00 | RM10.00 | 100% | 50% |
| RM25.00 | RM15.00 | 150% | 60% |
A simple product pricing formula
If you know the margin you want, use this:
Price = full cost ÷ (1 − target margin − fee rate)
Using our sambal jar with a 40% target margin and a payment fee of 2% (an example rate; check your own provider): RM10.20 ÷ (1 − 0.40 − 0.02) = RM10.20 ÷ 0.58 = RM17.59. Round it to RM18.
At RM18 the fee is RM0.36, so the profit per jar is RM18 − RM10.20 − RM0.36 = RM7.44, a margin of about 41%. Because your time is already in the cost, that RM7.44 is real profit on top of your pay.
Step 3: Account for platform and payment fees
Selling on social media can be free to start, but money still leaks out in fees. The common ones, in general terms:
- Payment fees. Payment gateways and payment links usually charge a percentage of each transaction, a fixed amount, or both. Bank transfers and QR payments may cost you nothing or very little, depending on your bank and account type. Check the current rate card of whatever you use.
- Marketplace fees. If you also sell on a marketplace, expect commission or service fees on each sale. They often differ by category and change over time, so price each channel separately if needed.
- Advertising. If you boost posts or run ads, divide the monthly ad spend by the units it helped sell. That is a cost per unit too.
- Your link-in-bio tool. Some tools charge a monthly plan or take a cut of sales. biolink.my is free and takes no commission: the WhatsApp cart sends orders straight to you, and customers pay you directly.
Important: If you accept several payment methods with different fees, price for the most expensive one you accept, or you will lose margin every time a customer picks it.
Step 4: Decide how to handle delivery and packaging
Delivery is where many social sellers lose money without noticing. A RM8 parcel on an RM18 jar is almost half the price. There are three common approaches.
| Approach | How it works | Good for | Watch out for |
|---|---|---|---|
| Charge separately | "Delivery from RM8" added to the order | Heavy or mixed orders | Customers see a higher total at the end |
| Free above a minimum | Free delivery on orders from RM70 | Raising the order size | The minimum must still cover the courier cost |
| Built into the price | Every price includes delivery | Light items, one per parcel | Multi-item orders get overcharged |
Setting a free-delivery minimum
Work out the smallest order where your profit still covers the courier. With RM7.44 profit per jar and an RM8 parcel, four jars (RM72) leave RM29.76 − RM8 = RM21.76 after delivery. A minimum of RM70 is safe; a minimum of RM20 would mean paying to deliver single jars.
Self pick-up and delivery zones
Offering self pick-up at no charge, and different delivery fees for different areas (for example, a local zone and a wider zone), keeps prices fair without making your shop complicated. Keep the rules short enough to fit in one sentence.
Tip: Put your delivery rules where customers see them before they order. On biolink.my the WhatsApp shop has a short shop note (up to 160 characters), such as "Delivery RM8 in the Klang Valley, free from RM70. Self pick-up in Shah Alam."
Step 5: Check your price against the market
The cost-based price tells you the lowest price that still makes sense. It does not tell you the highest. Before you post, compare it with what customers can see elsewhere.
| Method | Question it answers | Strength | Risk |
|---|---|---|---|
| Cost-plus | What do I need to charge to make a profit? | Never sells at a loss | Ignores what buyers will pay |
| Market-based | What do similar sellers charge? | Feels familiar to buyers | Copies other sellers' mistakes |
| Value-based | What is it worth to this customer? | Rewards quality and service | Needs proof and clear photos |
Use all three together. Start from cost-plus, look at the range for similar products, then place yourself inside that range based on what makes you different: fresher, handmade, faster delivery, nicer packing or a better story.
If your cost-based price is well above the market, do not just drop it: look for a cheaper supplier, a bigger batch or a smaller pack size.
Step 6: Use bundles to raise the order value
A bundle is the friendliest way to give customers a better deal while keeping your profit healthy, because several items go into one parcel and one chat.
Using our RM18 jar:
| Option | Customer pays | Your costs | Fee (2%) | Your profit |
|---|---|---|---|---|
| 1 jar | RM18.00 | RM10.20 | RM0.36 | RM7.44 |
| 3 single jars, 3 orders | RM54.00 | RM30.60 | RM1.08 | RM22.32 |
| 3-jar bundle, 1 order | RM48.00 | RM29.00 | RM0.96 | RM18.04 |
The bundle saves the customer RM6. Your profit is lower than three separate sales, but the bundle costs you less to fulfil (one box instead of three, which saves RM1.60 in packing in this example), takes one chat instead of three and often sells to customers who would only have bought one jar. If delivery is free above a minimum, the bundle also gets them there.
Bundle ideas that work on social media
- Try-all packs: one of each flavour, size or colour.
- Family or office packs: larger quantities for sharing.
- Gift sets: your product plus a card and nicer packing, priced for festive seasons.
- Refill packs: for repeat buyers who already have the container.
On biolink.my a bundle is simply its own product in the shop: give it a clear name ("Sambal trio, 3 x 250 g"), a description listing what is inside, and its price.
Step 7: Run discounts without hurting your margin
Discounts look cheap but they are expensive. Because your costs stay the same, every ringgit off comes straight out of your profit.
| Discount | New price | Profit per jar | Extra sales needed to earn the same |
|---|---|---|---|
| None | RM18.00 | RM7.44 | Not applicable |
| 10% off | RM16.20 | RM5.68 | About 31% more jars |
| 20% off | RM14.40 | RM3.91 | About 90% more jars |
| 30% off | RM12.60 | RM2.15 | About 246% more jars |
A 20% discount nearly halves your profit per jar, so you need almost twice as many sales just to stand still. Before running a promotion, decide what it is for (clearing stock, rewarding loyal customers, launching a product) and set a limit on quantity or time.
Alternatives to straight discounts
- Free delivery above a minimum instead of money off.
- A small free extra, such as a sample sachet that costs you less than RM1.
- Early-bird pre-order prices that end on a set date, which also help you plan batches.
- Bundles that lower the price per unit only when customers buy more.
- Loyalty perks for repeat customers, covered in our guide to getting repeat customers online.
Keep "was" prices honest
If you show an original price next to a sale price, the original must be a price you really charged. Showing an inflated "was" price to make a discount look bigger misleads customers, and consumer protection rules in many places, including Malaysia, cover misleading price claims. Marketplaces and shopping platforms have rules of their own: Google's guidance on sale prices for shopping listings, for example, treats the sale price as the current price customers pay, shown alongside the original only when certain requirements are met.
Tip: A countdown block on your page makes a promotion's end date clear, so "limited time" really means something. When it ends, switch the price back.
Step 8: Show your prices clearly
A good price is wasted if customers cannot find it. "PM for price" makes people work to buy from you, and many will not bother. Our guide to selling on social media without a website covers listings in detail; for pricing:
- Show the price on every product, in your posts, Stories and on your link-in-bio page.
- Use one currency format everywhere, such as "RM18" or "RM18.00", and stick to it.
- Round consistently. Pick whole ringgit or a fixed ending and use it across the catalogue.
- Say what the price includes: size, weight, pieces, and whether delivery is extra.
- Add a price per unit when pack sizes differ, for example "RM18 for 250 g, RM32 for 500 g". Shopping platforms use the same idea; Google's price guidance for product listings asks that the listed price matches what the customer actually pays at checkout.
- Keep the price the same everywhere, in posts and on your page.
Showing prices on your biolink.my page
On biolink.my every product in the WhatsApp shop has a name, a short description, a photo and a price in RM. When a customer picks items, the WhatsApp message lists each line with its quantity and amount, plus the total, so there is no arithmetic to argue about. If you take payment through your own gateway, a payment link block can show an amount label next to the button, and a tip-jar QR block can display your DuitNow QR. DuitNow is familiar to many Malaysian buyers, which makes paying the price you quoted quick. For the full order flow, see how to sell on WhatsApp from Instagram and TikTok.
Step 9: Review your prices regularly
Prices are not "set and forget". Review them:
- When a cost changes, such as a supplier price rise or a new courier rate.
- When a product is always sold out. It may be underpriced.
Your analytics help here. On biolink.my you can see clicks per block, and the Leads page keeps a log of carts sent to WhatsApp, so you can see which products people try to order. If a product gets plenty of views but few carts, compare its price with your best sellers before cutting it.
How to announce a price increase
Tell customers a week or two ahead, give a short honest reason, and let them order at the current price until the date. Most regular customers understand rising costs far better than a surprise in the chat.
Common pricing mistakes social sellers make
- Forgetting your own time. Unpaid hours are the most common hidden loss.
- Confusing markup with margin. "50% profit" may only be 33% of the price.
- Free delivery on every order. It can turn your cheapest products into losses.
- Discounting by reflex. Every sale with 20% off may need almost twice the orders to earn the same.
- Different prices on different channels without a clear reason.
Why biolink.my is free for sellers
biolink.my is free for everyone: no paid plans, no fees on your sales and no commission on WhatsApp orders, so it never needs a line in your cost table. The platform is paid for by brand partners and sponsors, and the only ad is one small card labelled "Sponsored" at the bottom of public pages, never between your products or links. Payments go directly from customers to you. See everything that is included on the features page, or browse more guides in Social Commerce.
Conclusion
Good pricing is not a guess and it is not a copy of your competitor. Count every cost per unit, including your time, decide on a margin and work backwards to the price, choose one clear delivery rule, and test the maths before any discount. Then show the price everywhere, the same way, so customers can say yes without asking.
Frequently asked questions
What is a good profit margin for a small online seller?
There is no single right number, because it depends on your product, your costs and how much time each order takes. Instead of copying a figure, work out your full cost per unit, add the pay you want for your time, and make sure what is left after fees and discounts is worth the effort. If a product only works at a very thin margin, one bad batch or courier price rise can wipe it out.
What is the difference between markup and margin?
Markup is profit as a percentage of your cost; margin is profit as a percentage of the selling price. A product that costs RM10 and sells for RM15 has a 50% markup but a 33% margin. Most pricing mistakes come from mixing the two up.
Should I include delivery in my product price?
You can, but it works best for light items with predictable shipping costs. Many social sellers charge delivery separately or offer free delivery above a minimum order. Whichever you choose, say it clearly on your page, for example in the shop note on biolink.my, so the total in the chat is never a surprise.
Should I end prices in .90 or round them?
Either can work. What matters more is being consistent and easy to read. Round numbers like RM18 are quick to add up in a WhatsApp chat and in your head, which helps when customers order several items.
How do I raise prices without losing customers?
Give notice, explain the reason briefly (for example, higher ingredient or courier costs), and honour existing orders at the old price. You can also add value at the same time, such as a better pack or a new bundle, so the change feels fair. Read our guide to getting repeat customers for ways to keep loyal buyers close.
Does biolink.my charge fees on my sales?
No. biolink.my is free and takes no commission. Customers send their order to your WhatsApp and pay you directly, so you only need to account for the fees of the payment method you use, such as your own payment link provider.
