Tom: You are quite right. Defining terms is very important–it
prevents fuzzy thinking and helps us to be sure we’re talking
about the same things at the same time. So I’ve done some
careful thinking about what I meant. First off–a fair price. I
really meant fair to me–to adequately recompense me for my
work–planning, actual handwork, creativity, etc; for materials
and overhead, and so that I can contribute to my own support so
that I can go on making other things. I agree that ‘fair’ to the
consumer is pretty much in the eye of the beholder but I have
clearly noticed from looking at other items in a Gallery, that
there is a fairly narrow range of prices at which an article will
sell. It seems to depend on other market forces, such a
location, material and probably the number of shiny stones in
it–but that seems to be a reality and to price an item way above
that price is probably futile if you wish to sell it.
Determining that price range isn’t easy. Next: I decide that my
item is worth, and can sell at X amount of dollars. Now if I
don’t have a direct customer with no middleman I could sell it
at that price and be happy. Enter the Gallery and either
consignment or sale. To make the amount of money I think I should
get, the price now has to be doubled. That price seems to me to
be too high for this particular item. That’s what I meant in that
second statement.
Now, about formula: One expert I read suggests pricing items at
61/2 times materials and time. Another says double the materials
cost and add time costs; another says take time + materials and
add 50% etc etc. I wondered what has actually worked well for
others. What works for you?
The next tricky issue is how much do we pay ourselves for our
labor (actual work, planning, designing, even thinking about what
we’re doing on a piece) The responses on Orchid range from
$20.00/hour to $65.00. Does this make a difference if you are
working in Gold or fine silver, or sterling, since Gold
(especially with seems to have a higher markup price
than silver ?
I know alot of this is very individual, but it sure helps to
have an ongoing discussion and to hear how other handle this- so
I’ll be looking forward to more from you. Sandra
Sandra Buchholz
Elegant Insects