Pricing

[crupiea]

I say we all conspire to fix the prices so no matter what show or site the customers go to, they will pay the same minimum price.  Of course after that the sky is the limit.

[trailfndr]

Last year, I decided to really get into the pricing of my work.  I kept extremely detailed records on every piece I made.  Cost of materials, Scrap, blades, finish Sandpaper, tape, you name it, I included the actual cost of what I used.  Then I also detailed my time.  Every single minute was tracked.  It was a time consuming process, but one I felt was needed in order to get a better idea of pricing, instead of just guessing.  Once I broke it all down, over some 25 different Intarsia pieces, I was able to come up with a price per piece cut formula that works for me.  I KNOW that I am well under what many people charge, and higher than others, but its what I NEED in order to cover the cost of making, selling, and continuing to do so.  I knew going into this that I could never get paid what I do at my full-time job, but I also know and well understand that I can't do this stuff for free, no  matter how much I enjoy the activity.  I find that I currently average about $15.00 per hour for my time, and many of my regular customers have asked how I work so cheaply.  Yes, it began as a hobby, but I want it to turn into something more down the line.  Currently I am getting  my work out there, and getting known,  so that once I retire from my full-time job, my Hobby, will become my full-time business.  I am not trying to get rich off of my Intarsia, but I'll be damned if I put 30-40 hours plus materials, and shop supplies, into a piece to give it away.

[kmmcrafts]

5 hours ago, trailfndr said:

Last year, I decided to really get into the pricing of my work.  I kept extremely detailed records on every piece I made.  Cost of materials, Scrap, blades, finish Sandpaper, tape, you name it, I included the actual cost of what I used.  Then I also detailed my time.  Every single minute was tracked.  It was a time consuming process, but one I felt was needed in order to get a better idea of pricing, instead of just guessing.  Once I broke it all down, over some 25 different Intarsia pieces, I was able to come up with a price per piece cut formula that works for me.  I KNOW that I am well under what many people charge, and higher than others, but its what I NEED in order to cover the cost of making, selling, and continuing to do so.  I knew going into this that I could never get paid what I do at my full-time job, but I also know and well understand that I can't do this stuff for free, no  matter how much I enjoy the activity.  I find that I currently average about $15.00 per hour for my time, and many of my regular customers have asked how I work so cheaply.  Yes, it began as a hobby, but I want it to turn into something more down the line.  Currently I am getting  my work out there, and getting known,  so that once I retire from my full-time job, my Hobby, will become my full-time business.  I am not trying to get rich off of my Intarsia, but I'll be damned if I put 30-40 hours plus materials, and shop supplies, into a piece to give it away.

That is sort of what I had to do.. and you'd be surprised how much time and materials actually does go into a piece.. not to mention.. for me selling online.. there is time for making your listings dealing with customers through email.. printer ink for receipts and labels.. gas in the car to get supplies and the time spent going to the lumber yards.. there is a long list.. and like I've said.. most all of us sell too cheap.. including me.. but I seem to be higher than most others and I keep raising prices.. and still selling pretty decent.. sales haven't slowed down because of prices... in fact I keep getting more and more year over year..  

[scrollin'fool]

I am very grateful that this thread exists, as I have been spending much time pondering this subject.

it is great to see everyones' thinking on this topic here.  I guess I am leaning towards under=pricing as well, hoping to sell-out at each show.  that would give me a more predictable income.  when it comes to how much time I spend on these toys, it is just ridiculous how little my hourly wages would be.  but, as many of you say, it is a labor of love, and being my own boss counts for a great deal in salary.

cheers to all you for chipping in on this topic

[Jim Finn]

I sell at about 20 sales a year and I also hear that I am pricing my stuff too low.  These comments usually come from other vendors selling items not made of wood.  They just do not like the dollar competition.  I just smile.   If they continue to talk about  this after the first comment I tell them.  "I will sell you my whole inventory, at my  price and you can re-sell them at your higher price"  They all just walk away.

[ekud1946]

2 hours ago, Jim Finn said:

I sell at about 20 sales a year and I also hear that I am pricing my stuff too low.  These comments usually come from other vendors selling items not made of wood.  They just do not like the dollar competition.  I just smile.   If they continue to talk about  this after the first comment I tell them.  "I will sell you my whole inventory, at my  price and you can re-sell them at your higher price"  They all just walk away.

Jim I love this quote: You may have your PHD but I have my GED and a DD 214

[MTCowpoke22]

I agree with KMM whole heartedly. Truth be told, if I could afford to quit my day job and start scrolling full time, I would. I'm not to the point where that is feasible yet. I've been branching out to do more craft shows with some success. But I can't pencil out making a living by going to the 6-8 craft shows a year in this area. I also haven't been able to invest the time needed to devote to an online site yet. I have figured my expenses including time and set my price at that. Some items go well and I could probably charge more. Some I hold onto for quite a while. What I've noticed is the crafts market can be a finicky. You generally only sell an knick knack/puzzle/ornament to a person once. So if your selling to a limited crowd, your inventory has to be constantly updating to new items and current trends.  Right now I'm riding the barnwood/rustic movement for all its worth. My only concern is keeping up with what everyone wants after it runs it's course.