Help for Your Pricing Woes

Pricing.

One of the most intimidating pieces of being a new shop owner. How much should I charge? Am I overpricing? Am I underpricing? How much is my time worth? What things should I consider when coming up with a price? For me, I just didn't consider that there was anything more to figuring this out then adding together the cost of my materials and doubling it. That was, until I had the opportunity to sell my jewelry to a shop and had to decide between selling it wholesale or consignment. The owners of the shop looked at my Etsy shop and commented on how low my prices were. Very sweetly, I might add, they asked me to reconsider how I was figuring my prices. So, I started doing some investigation on the web and found some very helpful sites. I would like to share these with you.



The first one is a free spreadsheet that is offered by Chris Parry. He is a jewelry designer/maker. It is straightforward and easy to use. The spreadsheet has 4 pages. The first is a basic overview of your monetary goals for your business. It will help you figure out how many hours per week at what hourly rate you will need to ultimately reach your yearly income goal. On the second and third pages, you can figure your direct and indirect costs. Finally, you can figure your wholesale and retail prices. I found this spreadsheet to be very helpful. And, for a pricing novice, like myself, this free spreadsheet in truly priceless. Here is a link to his blog, where you will find this and many other interesting articles.



The second, is offered by a very gifted artist, named Eni Oken. This Brazilian born jewelry designer has made a pricing tool available to the public for $5.00. It is written in Microsoft Excel and is very easy to use. This one is set up in a way that you can document each piece. You add a description, a picture, a list of your materials used and price of your labor. It will figure your price using seven well-known pricing scenarios. I have added a link to her pricing calculator.



Etsy, itself offers advice on this. You can check this out here. You can find worksheets and multiple articles written on pricing practices. Another useful source is the Etsy forums. Just asking other Etsians for advice can offer a lot of insight.



I hope that this help you out. I wish you all a beautiful and prosperous day.