How to compare bulk and regular prices
Convert both offers to a price per unit first.
1
Enter the unit prices
Divide the pack price by the number of units in each pack.
2
Estimate usage
Use the amount actually consumed in a month.
3
Allow for waste and storage
Subtract spoilage and add any storage cost before deciding.
What does this tool do?
Bulk buying lowers the unit price but ties up cash and can lead to spoilage. This calculator nets the unit saving against storage cost and waste.
The Formula
Net saving = (Regular unit price − Bulk unit price) × Annual units after waste − Storage costFrequently Asked Questions
When does bulk buying lose money?
When storage costs, spoilage or a short shelf life outweigh the unit discount. Perishable goods are the usual culprits.
Should cash flow be counted?
Large bulk purchases tie up cash. Compare the return on that cash with the discount if the amount is significant.