basic pricing question

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basic pricing question

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Mrs Fiddlesticks

Joined: 02 Nov 2004
Posts: 10460

Posted: Tue May 29, 07 6:09 pm Post subject: basic pricing question

We've made some greetings cards we're going to try and sell at the school fete.

Having never really done anything like this where do we begin to set a price.

I know roughly what the ingredients cost - is there a formula to work out how much to charge, do you make an allowance for labour (so how do you value yourself?)

Or is it more to do with comparing what shops sell these things for, or what you think you could sell them for?

Penny Outskirts

Joined: 18 Sep 2005
Posts: 23385
Location: Planet, not on the....

Posted: Tue May 29, 07 6:16 pm Post subject:
Go with what you think you should sell them for. You will have a gut feel of how much you'd be willing to pay for them yourselves? That's probably how much you should charge.

chez

Joined: 13 Aug 2006
Posts: 35935
Location: The Hive of the Uberbee, Quantock Hills, Somerset

Posted: Tue May 29, 07 6:18 pm Post subject:
Slightly different area - but my mum's a florist, among other things. She works out how much arrangements etc. cost her to make, not including time, and doubles it. (Then adds VAT, but assume that's not relevant here!). I think she undercharges a bit, but not much. If it's a fete, you can always bring the price down if they're not selling - but you can't put it back up ... .

gil
Downsizer Moderator

Joined: 08 Jun 2005
Posts: 18415

Posted: Tue May 29, 07 6:44 pm Post subject:
A balance of both approaches : work out price doubled, and add a bit more [the bread thread suggests 25% more] as Chez suggests, and also compare with what the going rate is for something similar. Then make a decision. As it's a fete, people might expect to pay a bit less than in a shop, or might be prepared to pay more in a good cause.

Mrs Fiddlesticks

Joined: 02 Nov 2004
Posts: 10460

Posted: Tue May 29, 07 6:52 pm Post subject:
Tim is also going to try and sell them at work ( London office so London prices?) just to see how they get on. I'm guessing a handmade card is about �2- �3 in smiths or clintons?

sally_in_wales
Downsizer Moderator

Joined: 06 Mar 2005
Posts: 20809
Location: sunny wales

Posted: Tue May 29, 07 6:54 pm Post subject:
try �2 each or three for �5, often helps get sales moving

Went

Joined: 19 Mar 2006
Posts: 6968

Posted: Tue May 29, 07 6:56 pm Post subject:
Something you should consider (I do not know your skill level....) there is a difference between hand made and home made...if you know what I mean. Some hand made cards are superb whereas homemade are....well average. Charge accordingly...but aim for a market price...good luck

sally_in_wales
Downsizer Moderator

Joined: 06 Mar 2005
Posts: 20809
Location: sunny wales

Posted: Tue May 29, 07 6:57 pm Post subject:
Good point that, maybe sort into two price brackets? Some at �1 for lots of sales, some at �2 where they are a bit posh??

akaskulz

Joined: 08 Jun 2007
Posts: 1

Posted: Fri Jun 08, 07 1:58 am Post subject:

sally_in_wales wrote:

try �2 each or three for �5, often helps get sales moving

anche tua mamma per qualche penny

woodsprite

Joined: 20 Mar 2006
Posts: 2943
Location: North Herefordshire

Posted: Fri Jun 08, 07 7:22 am Post subject:
Theres also a big difference in selling at a school fete (presumably to raise funds for the school?) and selling in hubbies London office (presumably to make a bit of dosh?).

bagpuss

Joined: 09 Dec 2004
Posts: 10507
Location: cambridge

Posted: Fri Jun 08, 07 8:18 am Post subject:
Bear in mind in shops normal cards are �1-3 each and hand made cards tend to be about the �5 mark so while I wouldn't recommend selling them at �5 don't sell yourself short though indulge me in a small rant of how stupidly expensive greeting cards seem to be!

Mrs Fiddlesticks

Joined: 02 Nov 2004
Posts: 10460

Posted: Fri Jun 08, 07 9:36 am Post subject:

woodsprite wrote:

Theres also a big difference in selling at a school fete (presumably to raise funds for the school?) and selling in hubbies London office (presumably to make a bit of dosh?).

only marginally in that we pay a small fee for the stall to go to the school funds and then take whatever we make from there.

We've started at �2 each and will see how they go. Trouble is I find them quite addictive to make, so now we need to sell them. If the fete and workplace go well (i.e it gives us good feed back as to their viability etc )then we may approach say the local little post office or something to see if they'd take a few.

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