Most businesses don’t sell everything at the same price to everyone. You have retail customers who pay full price, wholesale buyers who get a discount, trade accounts with special rates, and maybe a few VIP clients on their own pricing tier. Keeping track of who gets what price — and making sure your staff charge the right amount — is a recipe for errors if you’re relying on memory or a separate spreadsheet.

iMagic Inventory handles multiple pricing tiers natively, so the correct price appears automatically based on who you’re selling to. No manual calculations, no accidental undercharging.

Understanding the Four Pricing Methods

iMagic Inventory supports four distinct pricing approaches, and you can mix and match them across your product catalogue:

Fixed pricing is the simplest — you set a specific sell price for an item and it stays that way until you change it. Ideal for retail items with a standard RRP.

AUC (Average Unit Cost) pricing — iMagic Inventory calculates the sell price as a markup over the running average cost of your stock. As your cost price changes with each purchase, the sell price adjusts automatically. Useful when supplier costs fluctuate.

FIFO (First In, First Out) pricing — iMagic Inventory bases the sell price on the cost of the oldest stock in your system. When that stock is sold, the price updates to the next batch’s cost. Important for perishables and businesses that track exact margins on each batch.

LIFO (Last In, First Out) pricing is the mirror image — iMagic Inventory bases the sell price on the most recently purchased stock. Less common but useful in specific accounting or tax scenarios.

Assigning Price Levels to Customers

In addition to the pricing method, iMagic Inventory lets you assign each customer a price tier — Retail, Wholesale, Trade, or custom levels you define. When you create an invoice for that customer, iMagic Inventory automatically applies their tier’s pricing. Your staff don’t need to remember who gets what rate.

Open View > Customers to manage your customer list. Double-click a customer to edit their record and set their default price level. From that point on, iMagic Inventory will automatically use their assigned pricing on every new invoice.

Setting Prices on Individual Items

For each item in your inventory, iMagic Inventory lets you define prices at multiple levels. Open View > Inventory, select an item, and look at the pricing section. You’ll see fields for different price levels. Set your retail price, wholesale price, and any other tiers you use. iMagic Inventory uses the customer’s assigned level to pick the right price at invoice time.

Protecting Your Margins Across Tiers

One of iMagic Inventory’s most useful features is the ability to see your margin at each price level. When you can see that your wholesale price still delivers a healthy margin over your landed cost, you price with confidence. When margins get tight, you know it’s time to renegotiate with your supplier or adjust pricing.

How to Set Up Multiple Pricing Tiers in iMagic Inventory

  1. In iMagic Inventory, go to View > Inventory and open an item you want to configure.
  2. In the pricing section, enter prices for each tier: Retail, Wholesale, and any other levels relevant to your business.
  3. Select the pricing method (Fixed, AUC, FIFO, or LIFO) that suits each item.
  4. Save the item.
  5. Go to View > Customers and open a customer record.
  6. Set their Price Level field to the appropriate tier (e.g., Wholesale).
  7. Save the customer record.
  8. Create a New Invoice for that customer and confirm that iMagic Inventory automatically applies the correct tier pricing to each line item.

Keep Your Pricing Up to Date

Pricing that’s stale is almost as bad as no pricing system at all. Schedule a quarterly review of your price levels using View > Reports to run a price list or margin report. Compare your cost prices to your sell prices across all tiers and make adjustments where margins have eroded.

With multiple pricing tiers set up correctly in iMagic Inventory, you can serve retail and wholesale customers from the same system without confusion or errors.

Download iMagic Inventory free for 30 days and set up your pricing tiers today.