Designing beaded jewelry is the most exciting and lucrative hobby. Many people who stumbled upon designing beaded jewelry also grapple with the question of how to sell their jewelry. In fact, there is not any fine formula to turn your summer hobby into a successful business. However, a lot of factors come into play to accurately price your beaded jewelry. The right amount of research and planning can assist you to identify how much your jewelry really worth. With that said, let’s discuss how to price your beaded jewelry and start your business as a jewelry artist.
The first thing to start with is to calculate the overhead cost for designing beaded jewelry. It is true that at first, you will not feel comfortable charging the money for all the items and profit for your creative art. But it is important to note that avoiding to make the profit for the designed jewelry will be categorized in undervaluing the work. Designing handmade beaded jewelry is a lot of work and creative art. In this case, it is always recommended to consider the overhead for pricing your pieces accurately.
For the beaded jewelry, the overhead costs include travel expenses to purchase supplies, office supplies, and all the tools used to create hand-crafted items. Simply calculate all of these overhead expenses and apply them to each piece you are selling.
If you are thinking to make sales for your jewelry, then labor costs are not an exception. Calculate the cost you need to make per hour. For that instance, you will be required to calculate how much time it takes for you to design the beaded jewelry. As per professional recommendations, you must assign yourself an hourly rate to convert your artwork into profits. This process will help you to identify your labor work and time it takes to make a complete design. Always keep your pricing strategy right to make profitable sales for the beaded jewelry pieces.
While planning to sell your beaded jewelry, you must also look at the factors of wholesale and retail prices. This means both groups must include all the prices and expenses for gaining profit. In this case, the wholesale price must always be the least amount. With the least amount we mean, the lowest amount where you can still generate profits. Moreover, you can set up a home business where you can sell your artwork directly to the customers. You can also sell your jewelry to the stores and shops for indirect sales. Many shop owners might start their own negotiate on price, so it is better to be prepared beforehand.
There is an easy pricing formula to price your beaded jewelry sets. Since you have already obtained your wholesale and retail prices, the next step is to calculate the final selling price. You can either sell your pieces to the customers directly or to the shop owners. It is important to set a clear calculation of the retail price to negotiate with shop owners as well as customers. In the case of wholesale, the pricing formula will be:
2 x (overhead + labor + supplies) = final selling price
While the formula for the retail price will be the same apart from the multiplier which should be set around 2.5 to 3.
It is true that many customers perceive the cheap as broken and nasty. Selling your jewelry products at a cheap price does not mean it will attract more customers. In fact, one must never undervalue their work and sell it at a small price. Whether you are a small hobbyist or motivated business owner, good research and perfect pricing always pays off.