Pricing has to be one of the HARDEST things when running a business. You want to offer the best supplies and work, while keeping your costs low and the end price affordable! I don't get how some of these boutiques and Etsy stores can charge $80 plus for something that cost less than $10 to make, but thats them not me. I started this business because I wanted cute stuff for my boys that weren't crazy expensive! As my neighbor says, "we need to be where adorable meets affordable!' and I totally agree!
Etsy has this formula posted on their blog ...
Materials + Labor + Expenses + Profit = Wholesale x 2 = Retail
Its the perfect simple formula! Crafty base also has this very simple calculator (for those that don't like doing all the math! haha!)
I pretty much use this formula with 2 changes ... I don't mark up my wholesale cost by 2 and I actually breakdown my fabric/supplies cost. So if your 3m sized outfit only uses 1/4 of a yard, I'm don't going to charge you for the extra 3/4!!
But still it costs to get something cute and handmade, so while that rack of simple holiday shirts that Walmart are only $5.98 remember that they are massed produced by lots of workers and that there are hundred of them on the shelf. While mine are made one at a time by just me! But each one is different and special!
While I was out shopping the other day I saw this cute turkey outfit, and my first thought is I can make that!
And the price ... this was at our military exchange so it was only $27.99, but the MSRP with $47.99
(don't mind my very made chipping nail polish, haha!)
Now I can't make it IDENTICAL to this ... but can I make it on a ruffle shirt, YES! Can I make a cute turkey applique, YES! Can I make matching ruffle pants, YES! And what I can do that buying off the shelf can't ... I can customize it! Color, style, design, everything!!! So what would my price be??
Only $26-$31 (depending on the customizing!)
So see not all cute boutique style clothes are crazy expensive!! And if your little is only going to wear it once for a special occasion why not make it the cutest and most original as it can be!!