There is a bit of a formula that goes into pricing your items. Here are some things to keep in perspective when coming up with a price. These are some things to think about
1) How much did it cost me in supplies? ex) canvas, paint, card stock, ink, beads, findings, etc.
2) How long did it take to create, photograph, and put online? And how much do you think is fair to be paid for that time at an hourly wage? ex) if it took 2 hours total and you would like to be making about $15 an hour than you should make sure to factor in $30 into your cost
3) What are other people charging for similar products? ex) if you are selling small 5 x 7 prints of your art, how much are other people charging for their 5 x 7 prints? What is reasonable and what is too expensive? You can research your market by searching etsy for prints of art work and so on.
4) You can also factor in a "mark up" on your items. Sometimes this blends with your hourly wage. You can find out how much most people charge for something similar. You will occasionally find that it is even higher than you expected so go for it! You may also find that with some items you may have to charge just a little bit less than expected due to the market. Just make sure you make up for it with some of your other items and it should all balance out.
5) Don't forget that most hosting websites like etsy or ebay take a fee on every sale, as well as all payment websites like PayPal. Factor this into your cost as well as to not lose out.
6) Shipping costs: most websites make this separate so that you do not have to include this in your listing price. But something you may not realize is that websites like PayPal will charge a percentage of all money transferred including the shipping charge. So remember to factor that into your item cost, or charge a little extra for shipping to make up for it.
I will go over shipping in the next post.
3) What are other people charging for similar products? ex) if you are selling small 5 x 7 prints of your art, how much are other people charging for their 5 x 7 prints? What is reasonable and what is too expensive? You can research your market by searching etsy for prints of art work and so on.
4) You can also factor in a "mark up" on your items. Sometimes this blends with your hourly wage. You can find out how much most people charge for something similar. You will occasionally find that it is even higher than you expected so go for it! You may also find that with some items you may have to charge just a little bit less than expected due to the market. Just make sure you make up for it with some of your other items and it should all balance out.
5) Don't forget that most hosting websites like etsy or ebay take a fee on every sale, as well as all payment websites like PayPal. Factor this into your cost as well as to not lose out.
6) Shipping costs: most websites make this separate so that you do not have to include this in your listing price. But something you may not realize is that websites like PayPal will charge a percentage of all money transferred including the shipping charge. So remember to factor that into your item cost, or charge a little extra for shipping to make up for it.
I will go over shipping in the next post.
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