Hello there 😃, good evening.
I wrote a formula for pricing your products back in 2017, and it is still working today.
If you are into bespoke tailoring or even ready-to-wear, the strategy works.
This is it 👇
Cost of production + Desired Profit + Negotiation Margin = Selling Price
Cost of production means how much you will spend for everything you need to produce just one outfit plus the amount it will cost you to pay your tailor that will sew (aka workmanship).
Your desired Profit is the amount you'd like to have at hand after producing and delivering to the customer. It's more or less your reward for all your effort.
The Negotiation margin is the extra amount you will add for bargaining in case the customer wants to cut down the price. You need this to protect your desired Profit.
Add all of these together and you have your selling price.
However, your level of confidence matters. If your confidence is low, you may end up calling a low price in spite of the formula I just shared.
Hope this helps.
Laoye pricing Curtis
P.S: I'm launching a low priced mentoring club to help a few fashion entrepreneurs overcome their struggles with sales. It is gonna start in August.
Do watch out for my mail to join the mailing list.
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