# Target margin setting

> Set up and manage the target margins used in Vestis Labs to support accurate costing, pricing alignment, and consistent profitability tracking across your seasons and styles.

Source: https://docs.vestislabs.com/settings/target-margin-setting/

## Target margin – admin setup

Set up and manage the target margins used in Vestis Labs to support accurate costing, pricing alignment, and consistent profitability tracking across your seasons and styles.

## Introduction & best practice

Target margin settings in Vestis Labs allow you to define the margin percentages that guide your costing and pricing decisions during product development. By establishing target margins—such as wholesale, retail, or internal profit requirements—you create a clear framework that helps teams evaluate product feasibility, assess cost efficiency, and maintain profitability standards across your assortment.

Target margins are applied in the Cost Section of each style, where they help users quickly calculate recommended price points based on cost inputs. These predefined margins ensure consistent financial targets across teams and seasons, supporting more accurate planning, clearer communication with suppliers, and better-informed decision-making.

**Where to find it:** Settings → Price, Cost & Margin → Target Margin

**Requires:** permission `UPDATE_BRAND`

## Step-by-step guide

## Create target margin

Navigate to **Settings** \> **Price, Cost & Margin.**

- Choose the header 'Target Margin'. The page is called **Target Margin List** and shows each margin with its **Wholesale Margin**, **Wholesale Markup**, **Retail Margin**, **Wholesale to RRP Markup**, **Created** and **Modified** values.

![Navigate to Settings Price, Cost & Margin.](https://docs.vestislabs.com/assets/settings/assets/target-margin-setting/01-navigate-to-settings-price-cost-margin.webp)

- Click the '+ **New**' button - a Target Margin Page will show up.

![Navigate to Settings Price, Cost & Margin.](https://docs.vestislabs.com/assets/settings/assets/target-margin-setting/02-navigate-to-settings-price-cost-margin.webp)

- **Name** - mandatory ("Name is required" if left empty). The **Brand** and **Base Currency** shown below it are read-only. If no base currency is set yet, the page shows "Base Currency is not set" with a link to set it first.
- Each target margin has one or more rows under **Target Margins**. Click **Add Target Margin** to add another row, for example to give different suppliers different wholesale and retail margin values.

![Navigate to Settings Price, Cost & Margin.](https://docs.vestislabs.com/assets/settings/assets/target-margin-setting/03-navigate-to-settings-price-cost-margin.webp)

- **Margin Type** - choose the type of margin you want to apply, such as **Overall**, **Supplier** or **Style Category**, to define how the product's pricing structure is calculated. **Supplier** shows a **Suppliers** field and **Style Category** shows a **Categories** field where you select one or more values.

![Navigate to Settings Price, Cost & Margin.](https://docs.vestislabs.com/assets/settings/assets/target-margin-setting/04-navigate-to-settings-price-cost-margin.webp)

> [!NOTE]

**Overall: This margin will be applied to all suppliers and categories**

**Supplier: This margin will be applied to selected suppliers.**

**Style Category: This margin will be applied to selected style category.**

- Type in the **Target Wholesale Margin (%)** and **Target Retail Margin (%)** values (0 to 100).
- **Target Wholesale Markup** and **Target Wholesale to RRP Markup** are filled in automatically from the margins. You can also type a markup, and the matching margin is then calculated for you.
- Click **Create** to finish

![Style Category: This margin will be applied to selected style category.](https://docs.vestislabs.com/assets/settings/assets/target-margin-setting/05-style-category-this-margin-will-be.webp)

- Click **Remove** at the bottom right of a row to remove that row from the target margin. It only appears when the target margin has more than one row.

![Style Category: This margin will be applied to selected style category.](https://docs.vestislabs.com/assets/settings/assets/target-margin-setting/06-style-category-this-margin-will-be.webp)

- Repeat the same steps until you have created all Target Margin.

## Edit target margin

The Target Margin List Page stores all information related to the target margins created in Vestis Labs.

- To change the Target Margin - Click on the pencil icon on its row to open it in edit mode
- The page will be in edit mode
- Click **Save Changes** to finish

![The Target Margin List Page stores all information related to the target margins created in Vestis Labs.](https://docs.vestislabs.com/assets/settings/assets/target-margin-setting/07-the-target-margin-list-page-stores.webp)

- Select the trash icon, then **Delete** in the "Are you sure?" window, to remove the selected Target Margin from Vestis Labs. This cannot be undone.

![The Target Margin List Page stores all information related to the target margins created in Vestis Labs.](https://docs.vestislabs.com/assets/settings/assets/target-margin-setting/08-the-target-margin-list-page-stores.webp)