Definition of markup

1. increase on the original selling price. It is associated primarily with the pricing of items for sale in a retail or wholesale environment. Markup cancellation is a reduction on the price of merchandise that has been marked up on the original retail price. See also markdown.
2. amount added to the cost of an item to arrive at a selling price. Markup may be expressed as a percentage of cost or in dollars. For example, if an item costing $20 has a profit markup on cost of 30%, the selling price will be $26 ($20 + $6).
3. dealer markups in securities trading.

Marketing:

1. see gross profit.
2. determination of a retail selling price, based on some percentage increase in the wholesale cost; also called margin. For example, a 20% markup on an item wholesaling at $100 would be $20, resulting in a retail selling price of $120.

Marketing:

1. see gross profit.
2. determination of a retail selling price, based on some percentage increase in the wholesale cost; also called margin. For example, a 20% markup on an item wholesaling at $100 would be $20, resulting in a retail selling price of $120. Typical markups are 28% for cameras, 41% for dresses, 46% for costume jewelry, and so forth. The size of retail markups tends to vary inversely with the wholesale cost and with turnover(the rate at which a quantity is sold). See also markdown.