The V8 is offered at a USD 69 base retail price, with local currencies converted at the published exchange rate. Wholesale FOB Shenzhen is quoted separately for a confirmed quantity and packaging specification; it is not published as a consumer price. A recent three-month Canadian channel average transaction price of CAD 88.90 is a different measure in a different currency, so it should not be used as a substitute for the current retail price or a wholesale quotation.
The short answer: FOB and retail prices are not like-for-like
A FOB Shenzhen unit price describes the goods under specified Incoterms and delivery conditions at the named origin port. A Canadian average transaction price describes what customers paid through a particular sales channel during a particular period. Currency, included services, taxes, timing, and commercial scope can all differ.
For this V8 example, the sourcing figures are in USD, while the observed Canadian transaction average is in CAD. Do not subtract one from the other without a documented currency-conversion date and a complete cost bridge. Even after conversion, FOB price versus selling price still does not represent gross margin.
| Known item | Verified figure | How to interpret it |
|---|---|---|
| V8 published retail price | USD 69 base | Consumer-facing base price; other currencies are indicative conversions |
| V8 wholesale unit price | Provided in the volume quotation | Origin-side goods quotation, not a delivered Canadian cost or public retail price |
| Minimum order quantity | 400 units reference | Order basis confirmed for the exact specification and packaging |
| MOQ goods value | Volume-specific quotation | Quoted FOB unit price multiplied by the confirmed quantity |
| Reference lead time | 20 days | A reference to confirm in writing, not an end-to-end delivery promise |
| Canadian average transaction price | CAD 88.90 | Actual recent three-month channel average, not a quotation or forecast |
Build the estimate in three separate steps
1. Confirm the goods value
Use the exact FOB unit price in your written quotation: quoted unit price × confirmed quantity gives the goods value. Do not infer wholesale FOB from the public retail price. Confirm exactly what the supplier quotation includes, its validity period, packaging specification, and the named FOB port.
2. Estimate landed cost per sellable unit
A useful working formula is:
Landed cost per sellable unit = (FOB goods value + international freight + insurance + customs duties + brokerage + destination handling + non-recoverable import charges) ÷ received sellable units.
Use a consistent currency and record the exchange-rate source and date. Sales tax, import tax, and recoverable input tax should be classified according to the buyer's actual tax position rather than automatically added as a cost. If inspection, warehousing, damage, or write-offs affect the number of sellable units, make those assumptions visible.
3. Calculate channel contribution separately
A retail business also needs to account for platform and fulfillment fees, advertising, payment processing, expected returns, customer service, and any other variable channel costs. A more useful formula is:
Estimated net contribution per unit = net sales excluding collected sales tax − landed product cost − platform and fulfillment costs − advertising cost − payment fees − expected return costs − other variable costs.
This calculation is a planning estimate, not a claim of realized profit. Use actual fee schedules and return data where available. Keep fixed overhead outside the unit calculation unless the accounting model deliberately allocates it.
Before comparing any contribution estimate with the observed CAD 88.90 average, define whether that average includes discounts, shipping charged to customers, and collected taxes. The reporting period and order-status rules should also be recorded. A three-month average is historical evidence from one channel, not a guaranteed future selling price. Sensitivity tables can show how the estimate changes under alternative freight, exchange-rate, advertising, and return assumptions, but every scenario should be labeled as an assumption rather than presented as supplier data or a forecast.
No assumed volume-discount ladder
There is no verified bulk-discount schedule for quantities such as 1,000 or 2,000 units in the supplied data. Buyers should not assume that larger quantities automatically reduce the unit price. Request a new written quotation for the intended quantity and compare it on the same specification, packaging, Incoterm, currency, and validity basis.
Buyer verification checklist
- Confirm the model, functions, accessories, packaging, and private-label requirements.
- Confirm whether the quoted FOB unit price applies to the full quantity and how configuration or packaging changes affect it.
- Verify that FOB Shenzhen is the named term and clarify the exact port and responsibility transfer point.
- Check what the 20-day reference lead time starts from and whether it covers production only.
- Request current freight, insurance, duty, brokerage, and destination-charge estimates.
- Record exchange-rate source, date, and any currency-conversion fees.
- Obtain channel-specific platform, fulfillment, payment, and storage fee schedules.
- Model advertising and returns with observed or explicitly stated assumptions.
- Separate recoverable taxes from non-recoverable costs with qualified local advice.
- Ask for quantity-specific quotations instead of assuming an unverified discount.
The correct comparison is therefore not “FOB price versus retail price.” It is a fully documented cost and channel model built in one currency, with each assumption traceable to a quotation, invoice, fee schedule, or observed operating result.
Frequently asked questions
What is the V8 goods value at the 400-unit MOQ?
The wholesale goods value is confirmed in your volume quotation by multiplying the quoted FOB unit price by the confirmed quantity. The public page does not publish wholesale FOB pricing. Freight, duties, taxes, and channel costs are not included.
Can a historical CAD average minus the wholesale FOB price be treated as gross profit?
No. The figures use different currencies and commercial scopes. A valid calculation requires currency conversion, landed costs, channel fees, advertising, returns, payment costs, and tax treatment.
Does the 20-day reference lead time include international delivery?
The supplied figure is only a reference lead time. Confirm its start point and scope with the supplier; it should not be treated as an end-to-end delivery guarantee.
Are discounts available at 1,000 or 2,000 units?
No verified volume-discount schedule was supplied. Request a fresh written quotation for the required quantity rather than assuming a price reduction.
Sources and further reading
The product facts in this guide are linked to the underlying JPHUI specification pages, where dimensions, packaging and prices are maintained.
Content reference updated: · Product terms and market data should be confirmed for your specific order.