This does depend on the products involved. The short time I was involved in distribution to retailers, they want our products (niche GBA games) for around $26AU (includes 10% GST), and were selling to consumers for $60AU.
This also gave them room to move on discounting - drop to $50, etc.
I actually found it really hard to make money - being a tiny operator. They wanted only a few units at a time, ability to return unsold units. We had to pay freight (overnight shipping) which came to $100-$150 for even 20 or 30 units.
Consider that we were purchasing them (imported) for around $12-$15AU (landed), had import duties, OFLC (classification) costs and more... and it was really tough.
People always underestimate how complex the retail / distribution chain is, and how many "fingers are in the pot". This is one reason why digital distribution is so attractive - even if the revenues are tiny to start with.
Gesta Non Verba
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