Value-Based Pricing

[BDAZ]

My main "earners" come in 3 different widths and 3 different colors. I buy drum dyed hides which cuts a number of steps off the process. I offer lined, for an extra charge, or unlined f I offer customization in the form of a name or other stamp choices and choice of a few other items, at no charge. If I don't have a custom order I emboss which looks great but faster and time is money.

I pre cut my leather when I receive my hides and will shortly have dies to reduce the production times. I can offer a 24 hour turn around, at an extra charge, easy because most of the time consuming work is already done, and I offer wholesale at 35% off retail. My typical wholesale order will run $1,000 or more. I will invest in anything I can use to maintain the hand made, high quality look and feel of the product and make them faster and cheaper. Cheaper = more profit.

Some days I feel like I'm doing piecework in Mexico but never when I deposit the checks.

I have been investigating dog collars for some time and I feel there is a market niche I could address. It does mean making off the shelf product for sale at shows, investing in the right equipment and coming up with a slightly better design than what's currently out there. In addition it will require investing in exhibit space at craft and dog events and having sufficient inventory.

I hope this is helpful.

Cya!

Bob

Edited December 26, 2014 by BDAZ

[Spence]

Thanks guys. Appreciate your insight and it's all going into the folder for frequent study as I move forward.

[Dave Richardson]

I have read these post with great interest and would like to say thank you for asking the question and thank you for taking the time to provide such insightful answers. If I have heard once I have heard a hundred times people say "do you know how much money you can get selling these things that you make ? At this point I can say yes I do know .......0. It is very hard to get the right product in the right market for the right price.

Dave