With dwindling employment opportunities in many parts of the world, many people today are looking for alternative sources of income. Making and selling works of craft is among the easy ways to earn a decent living, assuming you are skilled though. After all, there are numerous places where crafters can offer their work.
A good place to start is selling your works of crafts online. Open an Etsy store and you have millions of potential buyers at your fingertips. Use social media networks to advertise and direct online traffic to your online business.
How to price your items when selling online
You may be talented in making items such as children’s toys, flower vases, photo frames and much more. However, deciding the right price for your wares is usually a hard task. For this reason, discover factors that you need to consider as you mark your price.
Consider the amount of work you have put into each item. This includes the procedures of collecting various raw materials, putting various components together and finishing the product. While an craft item may look basic, it may have taken you days or even weeks to perfect.
Another important consideration is the cost of materials. While some crafters collect raw materials from trash/scraps, many have to buy from stores. Depending on the quality you are looking for these might be high-end stores. For this reason, do not overlook the cost of production and materials.
The other important consideration when deciding on the pricing is competition. Here, you need to do a careful market survey to know what other crafters are charging for their items. Armed with this intelligence, do not price your items to high nor too low.
If your items are too expensive, buyers will shy away. On the other hand, your competitors will accuse you of killing business with under-priced products, plus you have to wonder why they are not charging less. Just use your common sense and decide on a reasonable figure. You can make the prices negotiable to accommodate people with different buying powers.
When you have set good prices, it is easier to provide a discount to somebody and still make a profit. If you always price your items at the bottom price, you will immediately loose money if you do any type of discount. Remember that people might come to you and ask you to buy 20 of your items for the soccer team. That would mean 20 times a small loss or you wouldn’t be able to provide a discount and they are likely to go somewhere else.
As you sell your works of craft online, know that it is a business just like any other. For this reason, you may need a couple of permits and licenses and obviously you will need to start thinking about taxes at some point. Ensure you obtain these certifications in your jurisdiction to avoid running in trouble with the law.
To know different marketing tips and approaches, join an group of crafters in your area or on Facebook. By being a member, you can benefit from regular newsletters and updates and other free communication. This way, you exchange ideas and tips with like-minded people. Know that you are not the first and probably not the last to go into this business and sharing knowledge with these like-minded people will give you a strategic advantage.
Make sure to join The Artistry newsletter by leaving your email in the right sidebar. In the future we will be writing a lot about how to run your store and make more money with your crafts.