4 Tips to Make Pricing Your Jewelry Easier
Does pricing your jewelry make you want to pull your hair out?
I know the feeling!
The other day, I was helping one of our mastermind designers with her pricing. One thing is for sure… pricing is so difficult!
Price too high and no one buys. Price too low and you lose money.
You must know that designers stress so much over pricing. However, there is no ONE way to price your jewelry. That’s why I want to break this down for you the best way possible to make this MUCH easier for you to price in a way that works for YOUR brand..
I must confess, when I was first starting out, I basically just eyeballed my pieces and made up prices. However, I've learned a LOT since then and, these days, I would NEVER take such a lackadaisical approach.
I know from personal experience that nothing sucks more than NOT pricing your jewelry in the correct way. That’s why as my business grew, my pricing efforts became much more detailed and meticulous.
Finding the RIGHT balance between perceived value and actual price is a delicate dance! Remember, there is no right or wrong way, but there are some guidelines that should help you out.
Here are 4 Tips to Make Pricing Your Jewelry Easier…
1. Get Really Clear on COGs AKA Costs
One of the reasons pricing doesn’t quite end up right is because costs haven’t been properly calculated. Your Cost of Goods or COG is everything that is involved in making a piece of jewelry – including materials, labor, and rep commission.
2. Find the Formula that Works Best for You
There is such a thing as a jewelry pricing formula, BUT there's no one-size-fits-all formula that works for everyone. One thing can’t be denied: you must cover your overhead expenses. The question is, how do you cover overhead costs associated with your jewelry business?
Some designers might find the “work backwards” method works best. Others might use the “included in the price” method.
Remember, each category has a different markup threshold, so fine jewelry will definitely be priced differently than, say, costume jewelry.
3. Price for Wholesale First
The biggest mistake designers make when they’re first starting out is pricing their products directly for retail without considering the wholesale price first. When their business starts to grow, they don’t understand why they aren’t making money.
Plus, when they get approached by retail stores later on, they often can’t sell because they aren’t pricing for wholesale first. The lesson? Always consider wholesale pricing before you even begin to consider pricing for retail.
4. Use Pricing Software
My life changed when I started using jewelry pricing software! In our pricing trainings, we always recommend using software because you can enter in labor costs and materials. With pricing software, pricing a piece becomes a plug-and-play event.
Trust me: software works wonders and saves so much time and frustration down the road!
At the end of the day, pricing confidently takes courage and knowledge! Use these 4 tips and price away!
Pricing can be complicated…so let’s make this simple!
Grab our FREE simple Pricing Guide by clicking that button below! It’s an awesome resource that gives you the basics of pricing your jewelry simply so you are confident that you are selling at a price for profits.
Download Our Simple Pricing Cheat Sheet
Take the Mystery Out of Pricing Your Jewelry and Double Your Jewelry Business!
Click to Tweet: 4 Tips to Make Pricing Your Jewelry Easier via @flourish_thrive https://goo.gl/rGkNKr
Now it’s your turn. In the comments below, tell us:
- What is your biggest frustration when pricing your jewelry?
- What is your biggest takeaway after reading this post?
If you are still searching for pricing software that works for you, you’re in luck! Our friends over at Craft Maker Pro have developed a new pricing software that is ideal for pricing your jewelry.