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Old 03-18-2015, 03:29 PM
 
52 posts, read 65,281 times
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I recently started a craft business and am getting ready for a few craft shows next month. But I feel the need to tweak my prices, based on response from Etsy.

Mind giving me some feedback on about how much you would charge for my crafts?

Pics are attached. They are yarn puppies about six inches or so in height and come in various colors to represent colleges, sports teams, sororities, etc. They take about 3.5 to 4 hours to make and the materials total to only $4.

As a business owner, how much would you charge?

And as a customer, how much would you be willing to pay?

I really want to set a price that is fair to the customers, but still make it worth my while (i.e. makes a profit).

TIA!
Attached Thumbnails
What is a fair and profitable price for this item?-cropped-puppy-pic1.jpg   What is a fair and profitable price for this item?-cropped-puppy-pic.jpg  
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Old 03-18-2015, 07:06 PM
 
13,250 posts, read 10,860,302 times
Reputation: 10431
Quote:
Originally Posted by 1LTJoy View Post
I recently started a craft business and am getting ready for a few craft shows next month. But I feel the need to tweak my prices, based on response from Etsy.

Mind giving me some feedback on about how much you would charge for my crafts?

Pics are attached. They are yarn puppies about six inches or so in height and come in various colors to represent colleges, sports teams, sororities, etc. They take about 3.5 to 4 hours to make and the materials total to only $4.

As a business owner, how much would you charge?

And as a customer, how much would you be willing to pay?

I really want to set a price that is fair to the customers, but still make it worth my while (i.e. makes a profit).

TIA!
Have you checked what comparable items go for at local crafts or hobby stores?

If I were you, I'd charge enough to cover production (buying raw supplies, the portion of your home devoted for it, any machine costs), your own time ($10/hour? $15/hour? $20/hour? Depends on skill), taxes, distribution/selling costs (advertising, mileage, etc.), and any wages you pay to hire any assistants you may at some point.
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Old 03-18-2015, 07:09 PM
 
21,025 posts, read 15,251,014 times
Reputation: 16286
I think you are close to negative on the raw materials alone
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Old 03-18-2015, 07:55 PM
 
Location: North Idaho
24,679 posts, read 32,353,616 times
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Competing with China, a small cute stuffed animal can be had for $2.95. How much were the Beanie Babies? $1.99? There might be buyers for handmade collectibles, but they won't pay outrageously over that.

If you could adjust the pattern a little bit and do them in real dog colors and make them look more like Pekinese, or Llasa Apsos, or poodles, there might be a small market with the fanciers of those breeds. Dog show people collect all sorts of art and figurines of their breed, but it has to look like the breed of dog.
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Old 03-18-2015, 10:39 PM
 
Location: Riverside Ca
20,938 posts, read 23,380,099 times
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I would seriously start marketing it as a "My First Pet" type of gift. I would make a bunch. Try to get your costs down. If that means buying some bulk or going to a Joanne or some yarn store and buying a clearance rack in bulk do that. You can also try craiglist see if someone has leftover yarn for free or very cheap. Maybe contact a yarn manufacturer and buy a bunch at once. See if they hapve color runout stuff. Then make a bunch and start marketing them as a first pet for a kid.
You can pitch it as

"Your kid wants a dog? Well give them a my first puppy. They can train in this before getting a real one You can even put a instruction sheet for parent and kid. Dog has to be taken out at x time. Fed at x time play x time cuddle x time.
Pitch handmade and made in USA.
The Chinese toys are full of toxic junk and lead.
Pitch it to retirement homes. Older ladies like cutesy stuff like that. Maybe find some collectibles convention and see if you can get a spot. I would look into a 19.95. That's a safe price imo. $20 isn't a huge amount. If you sell the hell out of them you are too low. Raise the price
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Old 03-19-2015, 10:48 AM
 
Location: Tyler, TX
16,162 posts, read 19,063,920 times
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The time it takes you to make one of these kills any chance for real profit. It's cute, but I can't see anyone spending what you need to charge in order for it to be worthwhile. Even at only $8/hr for your time plus materials, you'd have to charge nearly $40, and I just don't see anyone paying that much.

Electrician4you has a good idea with creating and attaching a storyline or other concept to the product. That gives you something more than a cute ball of yarn to place a value on. Look at what the concept did for Cabbage Patch dolls.
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Old 03-19-2015, 12:12 PM
 
Location: East of Seattle since 1992, originally from SF Bay Area
32,402 posts, read 59,062,303 times
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I have done woodworking/laser and stained glass gift type items and always priced at at a minimum of $30/hour plus double the material cost, which would put that at $128 each. Obviously that is not practical when compared to other Etsy items or what is available for $2.95 from China. If you are doing it for fun and a little extra spending money, you should at least make 30% more than your cost, so $5.20 plus whatever you consider your time to be worth. Anything less and you could be better off just getting a part-time job for the extra money, and make a few of these to donate to kids at area hospitals.

Like most online sales sites, Etsy buyers are looking for bargains, and you will find the same at shows. I have done a few of them too, and found that items at $5-10 sold pretty well, but anything over that was very slow. Items that I had at over $100 I ended up selling on consignment at a local gallery, where they took 45%.
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Old 03-19-2015, 01:06 PM
 
Location: Living on the Coast in Oxnard CA
16,252 posts, read 28,151,471 times
Reputation: 21614
Quote:
Originally Posted by 1LTJoy View Post
I recently started a craft business and am getting ready for a few craft shows next month. But I feel the need to tweak my prices, based on response from Etsy.

Mind giving me some feedback on about how much you would charge for my crafts?

Pics are attached. They are yarn puppies about six inches or so in height and come in various colors to represent colleges, sports teams, sororities, etc. They take about 3.5 to 4 hours to make and the materials total to only $4.

As a business owner, how much would you charge?

And as a customer, how much would you be willing to pay?

I really want to set a price that is fair to the customers, but still make it worth my while (i.e. makes a profit).

TIA!
I guess it would depend on how much you value your time but for 3.5 to 4 hours to make one I don't see any money there. On the high side you might get $12 for them and that would be on a good day. I know the gift shop manager at our hospital and she wouldn't want to pay more than $3 or $4 for one.

Not to say that you couldn't make money with the concept. Here is what I would do.

1. Put kits together where others can make them. Sell the kits.

2. Write directions on how to make them and sell the information online to others.

3. Create a book with pictures and instructions on how to make them and sell the book. I would expand the line if you are going to do that.

It is much easier to create one thing that you can sell over and over again then to make one thing that you can sell only one time. If you spent time creating a book with examples of how to make them and other kinds of them you only have to make that book one time. Directions and tips are the same. You create it one time and sell the heck out of it.
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Old 03-19-2015, 01:15 PM
 
52 posts, read 65,281 times
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Yeah, it's puzzling, Hemlock.
I see sellers on Etsy charging pretty high for things buyers can easily get cheaper. For example, I just saw a pair of handmade earrings going for $60. Buyers could easily think they could get the same or similiar pair for a quarter of the price at a department store. However, those who truly value original craftsmanship would probably have no problem and buy a $60 pair of original earrings from an Etsy seller.

I think the difference for me is my product is not that complex, like woodwork, that requires talent and skill. The yarn puppies are fairly easy to make. They just take a lot of time.
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Old 03-19-2015, 02:06 PM
 
Location: Under a bridge
2,423 posts, read 3,289,993 times
Reputation: 2486
It's all in the packaging and the presentation. If you have this down pat you can sell your crafts for a lot of money. BTW, the yarn puppies are really cool! Good job!

-Cheers.
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