Pricing handmade jewelry seems to one topic that jewelry artists never agree on. There are lots of different viewpoints and philosophies. This article will discuss some of the things to think about as you consider how to price your jewelry, and some of the common pricing models that jewelry designers use.
Keep in mind that you do much more than make jewelry as a business owner. In order to cover costs and overhead it is essential to charge more than your hourly rate + material costs, or keep your hourly rate on the high side (i.e. $18/ hour is much more realistic than $10/ hour) if you want your business to be profitable.
One mistake that new jewelry designers often make is to price their work too low.
Here are a few pricing tips:
-Don't compete with imports on pricing! Your quality is better, and you can never compete with those that make $2 a day. Instead, position yourself as the high quality artisan that you are, and command reasonable prices.
-As a newcomer, you can start lower if you would like, and move your pricing up as you become more well-known.
-Lower pricing also can work against you because it cheapens the perceived value of your work. People tend to think that you get what you pay for, so if you charge too low, people tend to think you make garbage.
I have another reason for not charging too low. This is kind of my personal soapbox:
If you charge too low, you are not only cheapening the perceived value of your own work, you are also cheapening the work of others because the public learns to think that some artisans who charge what they are worth, are charging too much.
Those artisans that charge what they are worth then have to work so much harder to convince customers that their work is worth the cost.
That said, as a jewelry designer, you need to consider 2 types of pricing: wholesale and retail.
Wholesale and Retail Pricing Models
Common wholesale pricing models used by jewelry designers:
-3 x the material cost
-3.5 x the material cost
-$18/hour-labor plus 1x materials plus 50% (or whatever you want your hourly wage to be)
-Eyeballing i.e. guessing at what it should be worth (not recommended, but common)
-$35/hour-labor plus 1x materials
-$26/hour-labor plus 1x materials plus 50%
-$20/hr.labor + mat. + 5%overhead + 20%profit
Common retail pricing models used by jewelry designers:
-1.4 x wholesale
-1.5 x wholesale
-1.6 x wholesale
-1.7 x wholesale
-1.8 x wholesale
-1.9 x wholesale
-2.0 x wholesale
-The ever common but not recommended "eyeballing" method
Feel free to use any of the wholesale or retail pricing formulas to price your own work.
How To Make Handmade Jewelry
If you love to wear bracelets, necklaces and earrings, then you may very well love the look of handmade jewelry. All handmade jewelry adds a special touch to your clothing. In addition, when you choose beautiful handmade jewelry, you are buying unique works of art that you can wear any day of the week. Something else that you might want to try your hand at is making jewelry on your own. This is a fun pastime for many people and can be a relaxing hobby. Whether you want to buy handmade jewelry or make your own, here is a look at handmade jewelry in general and what to look for when you buy these pieces.
Handmade Jewelry as a Work of Art: Probably the most attractive aspect of collecting handmade jewelry is that handmade jewelry is unique. Crafters from around the world spend their time making all styles of jewelry. In addition, you can find handmade jewelry to fit any budget. You can spend a lot of money on jewelry made of solid gold or silver or you can find less expensive pieces to add to your custom jewelry collection. Handmade jewelry is certainly a work of art and is unlike anything that you can go to the store to purchase. You can buy jewelry from around the world that is as unique as your personality and style. Some favorites handmade jewelry includes sterling silver, turquoise pieces, nonpareil jewelry (which is a style of jewelry), and beaded jewelry.
Choosing Jewelry Designers When you get ready to buy a handmade jewelry, there are several things that you should know. The first thing that you should know is exactly what you are looking for. It is easy to be tempted by the vast array of handmade jewelry. That is available to you. If you are trying to match a certain outfit or to complete a certain look, then you will probably have a good idea of what you need. However, you may be out shopping and find that a certain piece of jewelry jumps out at you. Also, consider the price when you buy handmade jewelry. Certainly handmade jewelry will cost more than that you buy at a store. This is because each piece is uniquely made and many times uses precious metals and stones. If you are buying from an individual crafter, it is always a good idea to get that person's contact information when you make a purchase. This way, if you decide that in the future you want another piece of jewelry, you can contact this person easily. It is also handy to have this information should your jewelry break and you need to repair.
Anything that you buy that his handmade should be inspected carefully before purchasing. Look for flaws in the metal and beaded work and make sure that the price that you are paying reflects the craftsmanship and the materials that are used. Don't pay sterling silver prices for plastic. These tips will help you find the right pieces of handmade jewelry to add to your collection.
Both Christine Gierer & Vince Paxton are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.
Christine Gierer has sinced written about articles on various topics from Home Appliances, Jewelry and Online Business. Christine Gierer is a self-taught jewelry designer, crafter, and Work-at-Home-Mom who enjoys reading, writing, and making handmade jewelry.
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