How to price handmade bags

Setting a n agreeable price for your handmade crafts is very crucial to the general development of your enterprises and hand made bags price setting is not an exception.

To be able to set the price that will be both Customer Friendly and comfortable for the producer, a few aspect of the production and general cost must be in consideration to be able to strike a balance.

Some of the factors for consideration when setting a price for your handmade bags are reviewed below.

• Cost of materials: Of course you want to calculate the total cost of all materials used for the production of the handmade bag like, handle, fabric/ leather, zipper, licks, magnets, stand, chains, sewing tread/ gum and other materials you may have used for designs.
• Cost of production: cost of production comes as the parent cost for machinery, labour, power, time, etc.
• Cost of packing: This refers to the total cost of packaging materials used for packing and wrapping up of the handmade bag.
• Cost of storage: If the bag needed to be stored before it was moved to the final consumer, the cost comes here.
• Cost of transportation: you must be mindful to include the total cost of transportation from product sourcing, moving to storage then down to shipping to the consumer.
• Then finally you get to consider what percentage you will want to get as your profit.

Since in most cases the process of production is shared among product, the costs listed above is also likely to be shared among product. For a freshman in the Handmade bag production and sales, accuracy in calculation of cost to determine the price may not be that easy so my advice to my graduating Handmade bag students is usually to calculate general cost, multiply this by two then if you offer free shipping, add the shipping fee to the equation and this will surely cover all cost angles. balance your profit as well as sit well on the customer’s be pocket.

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