Friday, March 21, 2014

A Touchy Subject

Prices.. a touchy subject for sure.

Your prices Have to be your own. You can't listen to those who say they are either too low or too high.
  • For me-- I have a paper and pen-- and I write down how long to the minute it takes me to complete an item. I do this for the 3rd time I make it. The first time is an experiment for me and can take a couple hours to get it right. (because I don't use commercial patterns and wing it and make it up as I go). I don't count that. By the time I am making it 3-4 times.. then I know what I am doing.  And depending on the item.. I pay myself anywhere from $12- $25-$30 hr to make the item. That figure is the base price. (and mind you I sew and craft fast... I am not one to dawdle).
  • I also write on my list.. exactly how much fabric (batting and interfacing included) it took to make something.... and how much thread. I figure out the costs there. (mind you I buy all my fabrics on sale or Wholesale). So, while I do understand that most charge what it would cost retail to buy fabric.. I have so much and everything bought before 12/31-- is already on last years taxes and written off then. And It is a very rare day that I have to pay full price for any fabric. (and if by chance I do- then it is okay, so I loose a little on that item, I have more than made up for it with other sales that didn't loose and I can always raise my price for that item next time).
  • And then when I have all my figures in place.. I generally double that amount or triple it depending. (that is my profit). I do take into consideration who my customer is. I do know who they are for the most part. My customer can sew as well as I can and she knows what fabric costs. My customer is a savvy shopper and she wants a bargain.  My customer just does not have the time to sew and make it herself so she comes to me. I am good with that. I am not out to rip off my customer and inflate my costs to make another seller feel good. This is my business not theirs. Talk to my accountant...my business is doing just fine.
Sell your similar item for a higher price- I just don't care. I really can't worry about what you sell your similar item for. And stop telling me to set my prices higher. Not your concern.
You can have all the product in the world and the cutest things.. And price your items very high to make what you did in the corporate world.. But if no one buys your items-- then who is further ahead really? 

Just my thoughts today...
have a good one!

2 comments:

  1. Some great advice! It's easy to get caught up in the "correct formula" for setting a price, but really it's your decision in the end, and it's something you need to be happy with. Newest follower from Etsy Blogging Team!

    May from La Vie en May

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  2. Hi there, I'm just stopping by to say how delightful your blog is. Thanks so much for sharing. I have recently found your blog and am now following you, and will visit often. Please stop by my blog and perhaps you would like to follow me also. Have a wonderful day. Hugs, Chris

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