The Art of Pricing Your Handmade Goods: A Guide for MakersOct 13, 2023
Hello Hello Hello! Today, we're diving into a topic that has flustered many of us: How to price your handmade goods. Whether you're knitting cozy blankets or handcrafting artisan candles, the question remains the same: What's the right price for your labor of love?
Don't Rely Solely on Formulas
It's tempting to think that there's some magical formula out there to determine your product pricing, but the reality is a bit more nuanced. While it's crucial to know your costs, what you can charge is often dictated more by market demand than any algorithm. The key is striking a balance between what the market is willing to pay and covering your costs adequately, while also making a fair profit.
The Handmade Difference
First things first, let's make one thing clear: Your handmade items are *not* to be compared with mass-produced items found in big box stores. Your creations are an entirely different beast—each product is a small batch, uniquely crafted with individual attention. So comparing your artisan jewelry or art to something mass-produced is like comparing an original painting to a print.
Research & Refine
Before you slap a price tag on your goods, do some market research. Visit websites, galleries, or boutiques that feature items similar in quality and craftsmanship to yours. Gather some data on how much they're charging and aim to price your products in the mid-to-high range of that average. Make sure you're covering your costs multiple times over, and you're likely to land on a reasonable figure. And remember, as you refine your online presence and your demand grows, you can always adjust your pricing.
The Value of Craftsmanship
You're not just a hobbyist; you're an artisan, a designer, a craftsperson with likely years of experience. Your expertise in materials and processes adds a layer of value to your products that can't be replicated by a machine in a factory. This elevates your work and should be reflected in your pricing.
The Look, Feel, and Story Matters
The way you present your products online can significantly affect their perceived value. Showcase the intricate details of your work with high-quality photos, and tell the story behind each item with compelling copy. This trifecta—stellar visuals, engaging narrative, and appropriate pricing—will attract the kind of customers who appreciate and are willing to pay for handmade quality.
Revisiting Your Pricing
If you've been in the game for a while and are thinking about revisiting your pricing, it's likely time for an increase. Don't be afraid. Undercharging is a common pitfall among makers, and it's neither sustainable nor does it attract the kind of audience you want. The way you brand, photograph, and price your products speaks volumes about who your ideal customer is.
Know Your Audience
Remember, you might not be your own target customer—and that's perfectly fine. Some people are willing to pay a premium for quality, unique goods. Just because you wouldn't spend $69 on a handcrafted coffee mug doesn't mean there aren't people who would gladly do so, valuing the craftsmanship and effort that went into it.
Pricing your handmade goods isn't just about covering costs; it's about recognizing the value of your talent, your time, and the exceptional quality of artisan products. So go ahead, give your creations the price tag they deserve.
Until next time, keep creating and flourishing!
Taught by leading e-commerce and handmade industry advisors, Flourish does more than teach you how to sell online, it will teach you to build your handmade or vintage brand and scale your small business to reach a global audience.