How to Price Your Products for Online Selling in Nigeria

The short answer: to price products for online selling in Nigeria, first add up your full cost per unit (product or materials, packaging, transport to source stock, payment fees, any platform fee and any delivery you absorb), then add a profit margin that leaves room for returns, promotions and growth. Check your price against what your customers can pay and what similar sellers charge, and review it whenever costs change. A price that only covers the product is a loss in disguise.

Last updated 28 October 2026. Fee figures are examples based on providers' published pricing at the time of writing; always check current rates.

Selling online already? A store that records every order and payment makes it easier to see whether your prices are working. Create a free Webift store.

Step 1: Work out your full cost per unit

List every cost involved in getting one unit to a customer:

"Share of other costs" is easy to forget. If you spend ₦15,000 a month on data, ads and transport and sell 50 units, that is ₦300 per unit.

Step 2: Add selling costs

Online selling has costs that do not exist when you sell to friends:

• Payment fees. For example, Paystack's published pricing for local transactions at the time of writing is 1.5% plus ₦100, with the ₦100 waived for transactions under ₦2,500 and fees capped at ₦2,000 per transaction. Flutterwave publishes its own rates. Check each provider's pricing page for current figures.
• Platform fees. On Webift's Free plan there is no subscription, and a ₦300 platform fee applies to each qualifying paid order. The Standard plan has a subscription instead. See Webift pricing explained.
• Delivery you absorb, if you offer free or discounted delivery.
• Returns and damage, as a small percentage of sales.

Step 3: Choose your profit margin

Your margin pays for your time, growth and mistakes. There is no single right number, but a few principles help:

• Fast-moving, low-cost items can work with lower margins because they sell in volume.
• Slow-moving, high-value or custom items need higher margins.
• Products that need a lot of customer service, such as hair, skincare or electronics, need more margin to cover your time.

Step 4: Use a simple pricing formula

A practical approach is cost-plus pricing:

Selling price = total cost per unit + selling costs + desired profit

Example for a product with a total cost of ₦7,000:

1. Desired profit: ₦3,000. Price before fees: ₦10,000.
2. Payment fee at 1.5% + ₦100 on ₦10,000 is about ₦250.
3. Webift Free plan platform fee: ₦300 per qualifying order.
4. To keep about ₦3,000 profit, a price around ₦10,600 is needed.

You might round to ₦10,500 or ₦11,000 depending on what your customers expect.

Step 5: Check the market

Cost-plus tells you the minimum you can charge. The market tells you what customers will pay. Compare:

• What similar sellers charge for similar quality.
• What your target customer can afford.
• What extra value you offer: faster delivery, better packaging, after-sales support, genuine products.

You do not need to be the cheapest. Being the cheapest only works if your costs are the lowest, and in Nigeria's changing market that is hard to sustain.

Step 6: Price for the Nigerian market realities

• Inflation and exchange rates. Imported goods and raw materials can change price quickly. Review prices monthly or when you restock.
• Delivery costs. Fuel prices affect delivery fees. Charge delivery separately by zone instead of building one flat cost into every product. See how to handle delivery.
• Negotiation culture. If customers often ask for discounts, decide your lowest acceptable price in advance and avoid going below it.
• Bulk and wholesale. If you sell to resellers, create separate wholesale prices with clear minimum quantities.

Step 7: Use psychological pricing carefully

Prices such as ₦9,900 instead of ₦10,000, or bundles such as "3 for ₦12,000", can encourage purchases. Use them honestly. Avoid fake "was" prices that were never charged, because customers notice and trust drops.

On Webift you can show a compare-at price where a product genuinely has a reduced price, and the Standard plan includes discount features for promotions.

Step 8: Review prices regularly

Set a reminder to review prices every month or every time you restock. Look at:

• Which products sell fastest, and whether you could charge a little more.
• Which products barely sell, and whether the problem is price or presentation.
• Whether your costs have changed.

A store dashboard that shows sales, top products and stock levels makes this review faster.

Common pricing mistakes

• Pricing from the supplier's cost alone.
• Forgetting payment and platform fees.
• Offering free delivery without knowing the cost.
• Copying a competitor's price without knowing their costs.
• Never increasing prices when costs rise.
• Discounting so often that customers wait for sales.

Frequently asked questions

How do I calculate the selling price of a product?

Add your full cost per unit, your selling costs (payment fees, platform fees, absorbed delivery) and your desired profit. Then check the result against the market.

What profit margin should a small business aim for?

It depends on the product and how much work each sale takes. Fast-moving goods can work with lower margins; custom, high-value or service-heavy products need higher ones. Make sure every sale covers all costs and leaves real profit.

Should I include delivery in my product price?

Usually it is better to charge delivery separately by location, because costs differ a lot across Nigeria. If you offer free delivery, include the cost in your prices or set a minimum order value.

How often should I change my prices?

Review them at least monthly and whenever your supplier prices, exchange rates or delivery costs change.

Price with confidence

Good pricing is a habit, not a guess. Know your costs, include every fee and review regularly. Create your Webift store to keep orders, payments and top products in one dashboard. If you are just starting, read how to start an online business with ₦50,000 or less.