Revenue-max price
$4.38
Peak weekly revenue $766
Pricing optimization / complete editorial artifact
Revenue peaks at $4.38. Profit peaks at $5.05.
6 observations fit a linear demand curve with R²=1.00. Moving from the revenue-max price to the profit-max price gives up $18 of revenue and adds $18 of gross profit.
Profit-max price
$5.05
Peak weekly profit $548
Profit lift
$18
Incremental weekly gross profit vs revenue-max.
Confidence
1.00
Fitted linear demand Q = 350.0 + (-40.0)P (R² = 1.00, n = 6).
Raw demand + fit
The demand curve is visible before the answer is.
Each observed point sits against the fitted demand line. Drag the live model below and the selected price dot follows the same curve.
Observed weeksFitted demand lineCurrent slider price
Interactive model
Move the price. The argument moves with it.
The server fits once. The artifact carries the rest of the interaction in plain client-side JavaScript.
Selected price
$4.00
Unit cost $1.35 · 6 observations
Predicted units
190Weekly revenue
$760Weekly gross profit
$504Revenue vs profit
Revenue peaks first. Profit peaks later.
The two curves diverge because unit cost changes the value of each incremental unit.
Revenue curveProfit curve
Strategy compare
Three strategies. One answer that survives comparison.
Current median
$4.00- Units
- 190
- Revenue
- $760
- Profit
- $504
Revenue-max
$4.38- Units
- 175
- Revenue
- $766
- Profit
- $529
Profit-max
$5.05- Units
- 148
- Revenue
- $747
- Profit
- $548
Sensitivity
When cost moves, the optimum moves too.
Test $4.90 to $5.20 next.
Lower cost
$0.95Profit-max $4.85
Base cost
$1.35Profit-max $5.05
Higher cost
$1.75Profit-max $5.25