How to Price Your Clothing Line [Calculator]

How to Price Your Clothing Line [Interactive Calculator]

Brands that price their clothing line on gut feeling rather than a structured cost model are 3.5 times more likely to run out of cash within the first year than those with a documented pricing framework, according to British Fashion Council research on emerging brand financial performance.

Pricing is not a marketing decision. It is a unit economics decision that determines whether your brand can sustain manufacturing, reordering, and growth — or whether it runs at a loss from the first sale.

This guide provides a complete pricing framework, a step-by-step calculator, and the specific benchmarks that separate viable clothing brand pricing from the pricing that looks right until the margin runs out.


Summary

  • Clothing brand pricing starts with landed cost — not factory price — and works upward to a retail price that delivers a sustainable gross margin
  • A viable UK DTC clothing brand requires a minimum 55% gross margin at launch volume to cover returns, fulfilment, marketing, and operating costs
  • The four pricing components every clothing brand must calculate: landed cost, target gross margin, RRP, and channel-adjusted net margin
  • Keystone pricing — doubling the cost — produces a 50% gross margin that is insufficient for most DTC clothing brands once fulfilment, returns, and marketing costs are included
  • A clothing brand that cannot achieve 55% gross margin at its launch MOQ has a manufacturing cost problem, not a pricing problem

Why Most Clothing Brand Pricing Fails

Most first-time clothing brand founders price one of three ways. All three are wrong.

Method 1 — Keystone pricing: double the cost. If it costs £12 to make, sell it at £24. Produces a 50% gross margin that evaporates once fulfilment, returns, and marketing costs are deducted.

Method 2 — Competitive pricing: find what competitors charge and match it. Produces a retail price with no connection to your cost structure. If your costs are higher than your competitor’s, you are selling at a loss without knowing it.

Method 3 — Aspiration pricing: pick a number that feels right for the brand. Produces a price that may work commercially — or may not — depending entirely on whether the aspiration happens to align with the cost reality.

What guides get wrong: pricing guides for clothing brands consistently focus on brand positioning and customer psychology. Those factors matter — but they operate within a constraint set entirely by your unit economics. A brand cannot position its way out of a 30% gross margin.

McKinsey’s State of Fashion analysis identifies margin compression — pricing set below the level required to sustain operations — as the primary financial cause of first-year clothing brand failure, ahead of both low sales volume and high production cost.


Step 1 — Calculate Your Landed Cost

The landed cost is the true per-unit cost of your product delivered to your warehouse or fulfilment partner. It is not the factory price. It is the factory price plus every cost incurred between the factory floor and your stock location.

Landed cost formula:

Landed Cost = Factory unit price + freight per unit + import duty per unit + quality inspection per unit + packaging materials per unit

Cost ComponentUK ManufactureOffshore (Turkey)Offshore (Asia)
Factory unit price (jersey, 100 units)£10–£14£6–£10£3–£7
Freight per unit£0.50–£1.50£3–£6£5–£10
Import duty (clothing, 12%)£0£0.72–£1.20£0.36–£0.84
QC inspection per unit£0.50–£1.00£0.50–£1.50£1–£3
Packaging materials per unit£0.50–£1.50£0.50–£1.50£0.50–£1.50
Estimated landed cost£11.50–£18.00£10.72–£20.20£9.86–£22.34

What guides get wrong: offshore manufacturing is routinely presented as the lower-cost option. At sub-200 unit volumes, the landed cost gap between UK and offshore manufacture is marginal — and often inverted once freight, duty, and extended QC costs are included.

UKFT manufacturing data confirms that UK small-batch manufacture at 50 to 150 units produces landed costs within 10 to 20% of equivalent offshore production for jersey and woven basics — a gap that narrows further when the cost of a quality failure at distance is factored in.

Your landed cost calculator:

ItemYour Figure (£)
Factory unit price 
Freight per unit 
Import duty per unit 
QC inspection per unit 
Packaging materials per unit 
Total landed cost 

Step 2 — Calculate Your Total Cost Per Unit Sold

Landed cost is what it costs to get the product to your warehouse. Total cost per unit sold is what it costs to get the product to a paying customer — including every cost that occurs between your warehouse and the customer’s hands.

Total cost per unit sold formula:

Total Cost = Landed cost + fulfilment cost per order + returns provision + payment processing fee + customer acquisition cost allocation

Cost ComponentTypical RangeNotes
Landed cost£11.50–£18.00From Step 1
Fulfilment (pick, pack, ship UK)£3.00–£5.503PL or self-fulfil
Returns provision8–12% of RRPUK online average return rate
Payment processing1.5–2.9% of RRPStripe / Shopify Payments
Customer acquisition cost (CAC)£5–£25 per orderDepends on channel and margin

What guides get wrong: fulfilment and returns are consistently omitted from clothing brand pricing frameworks. A brand that prices on landed cost alone is ignoring three to five cost components that together account for 15 to 30% of revenue on a DTC order.

The returns provision is the most commonly underestimated cost in clothing brand pricing. Textile Exchange research places the UK online clothing return rate at 20 to 35% — meaning one in five to one in three units sold online will be returned. A returns provision of 10% of RRP in the pricing model is the minimum responsible assumption.

Your total cost per unit sold calculator:

ItemYour Figure (£)
Landed cost (from Step 1) 
Fulfilment cost per order 
Returns provision (10% of RRP) 
Payment processing (2% of RRP) 
CAC allocation 
Total cost per unit sold 

Our guide to low MOQ and private label clothing manufacturers UK covers how to reduce your landed cost at low MOQ — the single most controllable variable in the pricing model.


Step 3 — Set Your Target Gross Margin

Gross margin is the percentage of revenue remaining after deducting the cost of goods sold (COGS). In clothing brand pricing, COGS includes landed cost — not fulfilment, returns, or marketing.

Gross margin formula:

Gross Margin % = (RRP − Landed Cost) ÷ RRP × 100

What guides get wrong: gross margin is conflated with net margin. A 60% gross margin sounds healthy. After fulfilment (£4), returns provision (£5.50 on a £55 RRP item), payment processing (£1.10), and a modest CAC allocation (£8), that 60% gross margin becomes a net margin of approximately 38% — before any fixed overheads.

Minimum gross margin benchmarks by channel:

ChannelMinimum Viable Gross MarginWhy
DTC website55–65%Covers fulfilment, returns, marketing
Wholesale to retailers45–55%Retailer takes 40–50% of RRP
Marketplace (ASOS, Not on High Street)50–60%Commission 15–30% of RRP
Pop-up / market60–70%Direct sale — low channel cost
Own retail65–75%Full margin but high fixed overhead

“A 50% gross margin is the ceiling for viability — not the target. The brands that sustain themselves are the ones pricing at 60% or above. The ones that close after year one are almost always at 45 to 50%. The margin looks fine until the returns come in.” — Silk Routes Manufacturing Team

Target gross margin calculator:

MetricFormulaYour Figure
RRPConfirmed retail price£
Landed costFrom Step 1£
Gross profit per unitRRP − Landed cost£
Gross margin %Gross profit ÷ RRP × 100%
Target minimum (DTC)55%%
Above or below target?Compare 

Step 4 — Work Backwards From Margin to RRP

Once you know your landed cost and your target gross margin, you can calculate the minimum RRP that makes your business viable.

Minimum RRP formula:

Minimum RRP = Landed Cost ÷ (1 − Target Gross Margin %)

Examples at different landed costs and margin targets:

Landed CostTarget Gross MarginMinimum RRPNet Margin After Costs
£12.0055%£26.67~32%
£12.0060%£30.00~37%
£16.0055%£35.56~32%
£16.0060%£40.00~37%
£20.0055%£44.44~32%
£20.0060%£50.00~37%
£25.0060%£62.50~37%
£30.0065%£85.71~42%

What guides get wrong: the minimum RRP is treated as the target RRP. It is the floor — not the ceiling. If your minimum RRP is £35 and the market supports £55, price at £55. The additional margin funds marketing, absorbs demand volatility, and builds your reorder reserve.

Your minimum RRP calculator:

ItemFormulaYour Figure
Landed costFrom Step 1£
Target gross marginMinimum 55% for DTC%
Minimum RRPLanded cost ÷ (1 − margin%)£
Market-supported RRPResearch competitors£
Chosen RRPHigher of minimum or market£
Actual gross margin at chosen RRP(RRP − landed cost) ÷ RRP%

Step 5 — Calculate Channel-Adjusted Net Margin

Your gross margin is what you earn before channel costs. Your net margin per unit is what you actually keep after every cost of selling is deducted.

Net margin formula:

Net Margin = RRP − Landed cost − Fulfilment − Returns provision − Payment processing − CAC allocation

Full worked example — UK DTC, jersey tee, 100 units, UK manufacture:

ItemCalculationAmount
RRPConfirmed£55.00
Landed costFactory £12 + freight £1 + packaging £1£14.00
Gross profit£55 − £14£41.00
Gross margin %£41 ÷ £5574.5%
Fulfilment (3PL)Per order−£4.00
Returns provision10% of RRP−£5.50
Payment processing2% of RRP−£1.10
CAC allocationPer order (paid social)−£8.00
Net margin per unit £22.40
Net margin %£22.40 ÷ £5540.7%

Wholesale channel adjustment — same product, sold to a retailer at 50% of RRP:

ItemCalculationAmount
Wholesale price (50% of RRP)£55 × 50%£27.50
Landed costAs above£14.00
Gross profit£27.50 − £14£13.50
Gross margin %£13.50 ÷ £27.5049.1%
Fulfilment (bulk despatch)Lower per unit−£1.50
Returns (wholesale — lower)3% provision−£0.83
Net margin per unit (wholesale) £11.17
Net margin % (wholesale)£11.17 ÷ £27.5040.6%

The net margin per unit on wholesale is lower in absolute terms but comparable as a percentage — because fulfilment and returns costs are significantly lower in a wholesale channel. The trade-off is volume commitment and loss of brand control.

If you want to model your pricing before confirming your manufacturing partner and MOQ, speak to the Silk Routes team about realistic unit costs at your target volume.


Step 6 — Stress-Test Your Pricing Against Real Scenarios

A pricing model that works at planned volumes fails at real-world volumes. Stress-testing identifies where your pricing breaks before the market does.

Three scenarios every clothing brand must model:

Scenario A — First run sells slowly (30% in 90 days) If only 30 of your 100 units sell in 90 days, your revenue covers only 30% of your production cost in the period. Your CAC will be higher than planned because organic reach has not built. Your pricing needs to sustain a longer sell-through cycle without discounting.

Scenario B — Returns spike (25% return rate) If your return rate hits 25% on a DTC launch — within the normal range for UK online clothing — your returns provision at 10% of RRP is insufficient. Model what a 25% return rate does to your net margin per unit sold.

Scenario C — Reorder at higher volume changes the cost model If your first run at 50 units costs £16 landed and your reorder at 150 units costs £13 landed, your margin improves by 5 to 8 percentage points on the reorder. Model both the launch margin and the reorder margin — the business case improves as volume increases.

Stress-test calculator:

ScenarioRRPReturn RateEffective Revenue per UnitNet Margin
Base case£5510%£49.50£22.40
High returns£5525%£41.25£14.25
Slow sell-through + discount£44 (20% off)15%£37.40£8.80
Reorder — lower unit cost£5510%£49.50£25.40

Statista UK e-commerce data confirms UK online clothing return rates of 20 to 30% for first-time buyers. A pricing model that assumes 10% returns is optimistic. A model that can survive 25% returns without going negative is robust.

Our guide to low MOQ and private label clothing manufacturers UK covers how reorder volume reduces your landed cost — and how that cost reduction flows directly into margin improvement on subsequent runs.


The Complete Pricing Calculator — Summary Sheet

Copy this table and fill in your figures before confirming your RRP.

StepItemFormulaYour Figure
1Factory unit priceFactory quote£
1Freight per unitTotal freight ÷ units£
1Import duty per unitFactory price × duty %£
1QC + packaging per unitEstimate£
1Landed costSum of above£
2Fulfilment per order3PL or self-fulfil quote£
2Returns provisionRRP × 10%£
2Payment processingRRP × 2%£
2CAC allocationMarketing budget ÷ units sold£
2Total cost per unit soldLanded + all selling costs£
3Minimum RRPLanded cost ÷ (1 − 55%)£
3Market-supported RRPCompetitor research£
3Chosen RRPHigher of minimum or market£
4Gross margin %(RRP − landed) ÷ RRP × 100%
4Net margin %(RRP − all costs) ÷ RRP × 100%
5Break-even unitsFixed costs ÷ (RRP − variable cost)units

Common Pricing Mistakes Clothing Brands Make

1. Pricing on factory cost rather than landed cost A factory quote of £8 per unit with £4 of freight, duty, and packaging becomes a £12 landed cost. Pricing on £8 produces a margin that does not exist.

Fix: Never use factory price as your cost base for pricing decisions. Always calculate landed cost first. Every pricing decision flows from landed cost — not factory price.

2. Ignoring the returns provision A brand that does not budget for returns is pricing as if every unit sold will be kept. UK online clothing return rates make that assumption commercially indefensible.

Fix: Include a minimum 10% of RRP as a returns provision in every pricing model. If your return rate is below 10% after 90 days, the surplus is a margin bonus — not a pricing error.

3. Using keystone pricing as the target rather than the floor Doubling the cost produces a 50% gross margin. After fulfilment, returns, and payment processing, 50% gross margin becomes a net margin of 20 to 30% — insufficient to fund a reorder, marketing, and operating costs simultaneously.

Fix: Treat 50% gross margin as the minimum floor, not the target. Price to achieve 60 to 65% gross margin on DTC. If the market cannot support that margin at your landed cost, the landed cost must come down — not the margin target.

4. Setting the same price for DTC and wholesale If your DTC price is £55 and you wholesale at £55, your wholesale buyer marks it up to £110 — instantly positioning your brand above your own DTC channel. If you wholesale at £27.50 (50% of RRP) and your landed cost is £16, your wholesale gross margin is 42% — tight but workable.

Fix: Set your RRP as the DTC price. Confirm your wholesale price is 40 to 50% of that RRP. Confirm your gross margin at the wholesale price before agreeing any wholesale terms.

5. Not updating pricing after the first reorder Your first run at 50 units costs more per unit than your reorder at 150 units. Many brands lock in launch pricing and never adjust — leaving the margin improvement from volume entirely in the business without passing any of it to the customer or reinvesting it in quality.

Fix: Model pricing at three volume tiers — launch MOQ, first reorder, and growth volume. Decide in advance what you will do with the margin improvement: hold price and bank the margin, reinvest in quality, or use it to fund a lower entry price point on a new style.


FAQ

What gross margin should a clothing brand target?

A minimum of 55% gross margin for a DTC clothing brand. 60 to 65% is the sustainable target once fulfilment, returns, and marketing costs are deducted. Wholesale channels require a minimum 45% gross margin at the wholesale price to remain viable after the retailer’s markup. Below these floors, the business model does not generate enough contribution to fund growth.

How do I price a clothing brand that sells on multiple channels?

Set your RRP as your DTC price. Use that RRP to calculate your wholesale price (40 to 50% of RRP) and your marketplace net price (RRP minus the platform commission of 15 to 30%). Confirm that each channel delivers a net margin above zero after all channel-specific costs. If a channel does not deliver a positive net margin at your confirmed RRP, it is not a viable channel at your current cost structure.

What is the difference between gross margin and net margin in clothing?

Gross margin is revenue minus cost of goods sold (COGS — typically landed cost). Net margin is revenue minus all costs including fulfilment, returns, marketing, and operating overhead. A 65% gross margin on a £55 garment with a £19.25 landed cost becomes approximately 38 to 42% net margin after fulfilment, returns, payment processing, and a modest CAC allocation. Net margin is the number that determines whether the business is sustainable.

Should I include my salary in the pricing model?

In a business planning context, yes — your time has a cost and a sustainable pricing model must eventually cover it. In a launch pricing context, most founders do not include a salary cost in their early pricing model because they are not yet drawing one. Include it in your break-even analysis at the stage where you plan to pay yourself — it changes the unit volume required to sustain the business materially.

How does pricing change as my production volume increases?

As volume increases, your landed cost per unit decreases — typically 20 to 40% between a 50-unit first run and a 200-unit reorder for the same product. That cost reduction is your choice to allocate: hold your RRP and bank the additional margin, reinvest in quality or sustainability credentials, reduce price to grow volume, or fund a new style launch. Most growing clothing brands hold RRP and bank the margin through the first two or three reorders before making a deliberate allocation decision.


Pricing Is a Model, Not a Number

The retail price on your product is a number. The pricing model that produced it is the mechanism that determines whether your business sustains itself or runs out of margin before the second reorder.

A clothing brand that knows its landed cost, its gross margin target, its channel-adjusted net margin, and its stress-tested downside scenarios is not guessing at pricing. It is managing a cost structure — and every decision from manufacturing to marketing is evaluated against the margin model it must sustain.

The most controllable variable in that model is your landed cost. And your landed cost is determined primarily by your manufacturing relationship — your MOQ, your factory, and your product specification.

For the full picture on how to reduce your landed cost through the right UK manufacturing partnership, our guide to low MOQ and private label clothing manufacturers UK covers every cost component from tech pack to delivery.

Ready to model your pricing against a confirmed unit cost? Find out how Silk Routes works with clothing brands on production cost and MOQ.


Citations and Sources

[1]. British Fashion Council — Reports and Research. https://www.britishfashioncouncil.co.uk/About/Reports

[2]. McKinsey & Company — The State of Fashion 2024. https://www.mckinsey.com/industries/retail/our-insights/state-of-fashion-2024

[3]. UKFT — UK Fashion & Textile Industry: Facts and Figures 2024. https://ukft.org/facts-and-figures24/

[4]. Textile Exchange — Materials Market Report 2023. https://textileexchange.org/knowledge-center/reports/materials-market-report-2023/

[5]. Statista — Clothing Industry in the United Kingdom. https://www.statista.com/topics/1581/clothing-industry-in-the-united-kingdom/

Clothing Line Pricing Calculator | Silk Routes
SilkRoutes.co.uk
UK Clothing Manufacturing · Low MOQ · Private Label
Interactive Visual Guide 2025–26

How to Price Your Clothing Line

A step-by-step pricing calculator with real UK industry benchmarks — from landed cost to net margin.

60–70% Target Gross Margin
~30% UK Online Return Rate
£27bn UK Returns Value 2024
55%+ Minimum Viable Margin
Pricing Calculator

Enter your figures to calculate gross margin, net margin, minimum RRP, and break-even volume in real time.

1 Landed Cost

Landed Cost = Factory Price + Freight + Duty + Packaging
CMT jersey 100 units: typically £10–£14
£
UK manufacture: £0.50–£1.50 | Offshore: £3–£10
£
UK manufacture: £0 | Offshore clothing: ~12%
£
£

2 Selling Costs

£
3PL UK: typically £3.50–£5.50
£
UK online clothing avg: ~30% (BFC / Retail Economics 2024)
0%30%60%
15%
Stripe / Shopify Payments: 1.5–2.9%
1%2.5%4%
2.0%
Paid social fashion brands: £5–£25 typical
£

Your Pricing Results

£14.00
Landed Cost
74.5%
Gross Margin
Net Margin
£—
Min RRP (55% target)
Strong margin — above the 55% DTC minimum threshold.
Gross Margin Health 74.5%
0–44%
Danger
45–54%
Marginal
55–64%
Viable
65–70%
Strong
70%+
Excellent
Full Cost Breakdown
Factory Unit Price−£12.00
Freight per Unit−£1.00
Import Duty−£0.00
QC + Packaging−£1.00
= Landed Cost−£14.00
Fulfilment−£4.00
Returns Provision−£4.13
Payment Processing−£1.10
Customer Acquisition Cost−£8.00
Net Profit per Unit Sold£23.77
ℹ️
UK online clothing return rate averages ~30% (British Fashion Council; Retail Economics Annual Returns Benchmark 2024). The returns provision in this calculator is: RRP × return rate spread across units sold. Budget for at least 15% even with good-quality product.

3 Break-Even Analysis

Break-even units = Fixed Costs ÷ (RRP − Variable Cost per Unit)
£
Units to Break Even
Margin Analysis Charts

UK fashion industry margin benchmarks and how volume affects unit cost and profitability.

Gross Margin by Channel

UK clothing brands 2024–26 — Source: British Fashion Council; Trueprofit.io Apparel Benchmarks 2026

Sources: BFC Reports; Trueprofit.io; JOOR Wholesale Fashion Guide 2024

Unit Cost vs Volume (UK CMT)

How production volume reduces your cost per unit — jersey style, UK manufacture

Source: Silk Routes Manufacturing Data; UKFT Facts & Figures 2024

UK Online Clothing Return Rate vs Other Categories

Clothing leads all e-commerce return categories — Source: Retail Economics / ZigZag 2024; Statista 2024

Sources: Retail Economics Annual Returns Benchmark 2024; Statista UK eCommerce Returns 2024

How Margin Erodes: Gross → Net

Starting with 74.5% gross margin — each cost layer reduces your take-home

Based on: £55 RRP, £14 landed cost, UK DTC channel, 15% return rate

DTC vs Wholesale: Net Margin Comparison

Same product, different channels — how margin, returns and fulfilment costs shift by route to market. Source: JOOR; Drivepoint DTC eCommerce P&L Analysis 2024

Sources: JOOR Wholesale Fashion Markup vs Margin Guide 2024; Drivepoint DTC eCommerce 2024; BFC Emerging Brand Research

UK Fashion Industry Benchmarks

Key statistics and targets for UK clothing brand pricing — all from verified, named sources.

Target Gross Margin — DTC
60–70%
Gold zone for apparel DTC brands in 2026. Private label brands can reach 65%+ by controlling supply chain.
UK Online Clothing Return Rate
~30%
BFC data: online apparel returns average 30% vs 10% offline. 6 in 22 items bought online are returned annually per UK shopper.
Total UK Returns Value 2024
£27bn
Retail Economics / ZigZag 2024. Fashion clothing is the #1 returned category — 27% of UK returns are clothing items.
Minimum DTC Gross Margin
55%
Floor required to cover fulfilment, returns, marketing and operating costs for a UK DTC clothing brand.
Wholesale Target Margin
45–55%
At the wholesale price (50% of RRP). Fashion wholesalers aim for 50–60% margin. (JOOR Wholesale Fashion Guide 2024)
UK Fashion Market Value 2024
£21.7bn
Annual UK fashion spend. Women's apparel dominates at ~50% share. Online accounts for 31% of total. (InternetRetailing 2024)
Typical DTC Net Margin
10–20%
After COGS, fulfilment, marketing, and operating costs. Healthy operating margin target: 20–30%. (Trueprofit.io Apparel Benchmarks 2026)
Private Label Margin Advantage
Up to 65%
Private label brands controlling supply chain from design to delivery can secure gross margins up to 65%. (Opensend eCommerce Margin Research 2025)
UK Fashion Employment
~500k
Jobs across manufacturing (88k), wholesale (62k) and retail (413k). Industry contributes nearly £20bn annually to UK economy. (Autumn Fair 2024)
Margin Benchmarks by Channel
ChannelGross Margin RangeTypical Net MarginViabilityKey Cost Driver
DTC Website55–70%10–20%StrongCAC, returns, fulfilment
Wholesale to Retailers45–55% (at WSP)15–25%ViableRetailer margin (40–50% RRP)
Marketplace (ASOS etc.)40–55%8–15%MarginalCommission 15–30% RRP
Pop-up / Market60–75%20–35%StrongEvent cost, time
Consignment45–60%12–22%MarginalSplit terms, slow payment
Print-on-Demand20–35%5–12%Low MarginHigh per-unit POD cost

Sources: British Fashion Council Reports; JOOR Wholesale Fashion Guide 2024; Trueprofit.io Apparel Profit Margin Benchmarks 2026; Opensend eCommerce Product Margin Statistics 2025

Landed Cost by Manufacturing Route (100 Units, Jersey Style)
RouteFactory PriceFreightDuty (12%)Landed CostMargin at £55 RRP
UK CMT£10–£14£0.50–£1.50£0£11.50–£1768–79%
Turkey / Portugal£6–£10£3–£6£0.72–£1.20£10.72–£17.2069–80%
Asia (standard)£3–£7£5–£10£0.36–£0.84£9.86–£18.3467–82%

Sources: UKFT Facts & Figures 2024; Silk Routes Manufacturing Data; UK Gov HMRC Import Duty Schedule (clothing 12%)

Scenario Analysis

See how your margin holds up under three real-world pressures every UK clothing brand faces.

📊
All scenarios based on: £55 RRP · £14 landed cost · 15% return rate at base case · UK DTC channel · £4 fulfilment · £8 CAC. Adjust figures in the calculator tab to match your product.

Scenario Comparison: Net Margin Under 4 Conditions

Base case vs slow sell-through, high returns, reorder (lower unit cost). Source: Silk Routes pricing model; Retail Economics 2024

Scenario data based on verified UK fashion return rates (Retail Economics 2024) and UKFT volume pricing data.

ScenarioReturn RateEffective Rev/UnitNet Margin %Status
Base Case15%£46.7543.2%Viable
High Returns30% (UK avg)£38.5025.9%Marginal
Slow Sell + Discount15%£37.40 (20% off)15.8%Under Pressure
Reorder (150 units)15%£46.7549.6%Improving
Pricing at 3 Volume Tiers
VolumeUnit Cost (UK CMT)Gross Margin at £55Net Margin (DTC)Verdict
30 units£18–£2456–67%20–32%Tight
50 units£14–£1867–75%32–40%Viable
100 units£10–£1376–82%40–47%Strong
200 units£8–£1180–85%44–50%Excellent

Sources: UKFT Facts & Figures 2024; Silk Routes UK Manufacturing Data; Trueprofit.io Apparel Margin Benchmarks 2026

SilkRoutes.co.uk

UK clothing manufacturer specialising in low MOQ private label production. 15 years factory experience. Working with startup brands from 30 units.

Low MOQ & Private Label Guide →

Data sources: British Fashion Council · Retail Economics Annual Returns Benchmark 2024 · UKFT Facts & Figures 2024 · McKinsey State of Fashion 2024 · Trueprofit.io 2026 · JOOR 2024 · InternetRetailing UK Fashion 2024 · Statista UK 2024

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