I’ve heard that if I price my work higher, buyers will think it is worth more and are more likely to buy it. Is this true in the world of crafts? On the one hand, I don’t want to lose buyers because they think my work is overpriced. But on the other hand, I don’t want to lose out on profit because I priced my work too low. How does this concept work in this industry?
-Jillian Disa, Portland, Maine
There certainly is something to be said about perceived value. Let’s understand perceived value to mean value not related to the cost of materials and production. Why would anyone pay $500 for a pair of jeans when perfectly serviceable ones are available for less than $100?
Perhaps it has to do with words like Calvin Klein, Ralph Lauren and Dolce&Gabbana, all well-known brand names. People know that they are paying more for the jeans because they have designer labels that relate to a brand that is known for quality and good design, not because the cost of time and materials justifies the price. The perceived value here will be enhanced by the satisfaction the purchaser will get when people notice and recognize the choices that have been made.
So now for your work. You don’t say what you make or anything about the position of your brand in the marketplace. Both of these factors influence what the consumer is willing to pay for an object. For instance, the typical customer will pay more for a goblet blown by a well-known glass artist than they will for one from an unknown maker. Please read the third question for my ideas about getting the price right in terms of profitability. In addition, consider the fame factor—if you are well-known and sell your work easily, then you are probably in a position to increase your prices (gradually would be best) and not lose sales.
I’ve heard that if I price my work higher, buyers will think it is worth more and are more likely to buy it. Is this true in the world of crafts? On the one hand, I don’t want to lose buyers because they think my work is overpriced. But on the other hand, I don’t want to lose out on profit because I priced my work too low. How does this concept work in this industry?
I’ve had my wood-carving business for a number of years, and now I am ready to get my work into more galleries and shops. However, I’m not sure that I have the time and experience necessary to do this. Should I hire an artist’s broker/representative? I’ve heard varying opinions (some strong) about this. Would it be beneficial to hire one? Or should I just press on and try to do my own representation?
When packaging up a purchase, I use cheap plastic bags. However, I’ve noticed other artists using the more expensive craft paper bags, bags with their brand name embossed on the front or even cloth bags with their names printed on them.Is expensive packaging really necessary?
I’ve created my own website, but I don’t sell off of it. How often should I update it: every week, every month, or quarterly? I’m not sure what buyers expect, or what the industry is dictating right now. I usually change it when the changes needed are worth the time it will take from my schedule.
To be a successful marketing tool a website needs the same attention as any bricks and mortar business. You don’t say why you have a site if you don’t sell from it. However, if you mean customers have to call you to make a purchase, you are truly selling from your site. I also don’t know if you are a production artist or one-of-a-kind maker. These are factors that would influence the frequency of updates. A craftsperson producing a line that changes once or twice a year may not have much to add in between. On the other hand, a one-of-a-kind maker would want to get each new body of work online as quickly as possible. Either use makes sense under the right circumstances. But neither use will achieve the full selling potential unless you keep them current. Each time you make changes to your site, you will want to send an e-blast about it to your mailing list.
I’ve created my own website, but I don’t sell off of it. How often should I update it: every week, every month or quarterly? I’m not sure what buyers expect, or what the industry is dictating right now. I usually change it when the changes needed are worth the time it will take from my schedule.
Q: I attend a lot of shows each year, and it never fails—I always have at least one person visit my booth who is there to simply visit. Meanwhile, I have many buyers coming in and out that I’m unable to talk to effectively, because the “talker” continues on...and on...and on! What are polite ways of breaking the conversation and concentrating on people who are there to do business?
There are always chatty people who seem to enjoy being with artists. Often they have no sense of the inappropriateness of engaging you in long conversations. I believe they haven’t made the connection that although you are in a public place in a social situation, you are indeed working. I think the “talker” is hard to offend and urge you to excuse yourself to talk to other customers. Alternately you could pick up your duster and excuse yourself saying, “I can’t believe how dusty it gets in here” and go to work. Or get the glass cleaner or reorganize your merchandise...you get the picture. Soon the “talker” will be off to another booth, pleased with themselves for having talked to an artist. TCR
I attend a lot of shows each year, and it never fails—I always have at least one person visit my booth who is there to simply visit. Meanwhile, I have many buyers coming in and out that I’m unable to talk to effectively, because the “talker” continues on...and on...and on! What are polite ways of breaking the conversation and concentrating on people who are there to do business?
Q: Is there any advantage to selling wholesale over retail and vice-versa?
There are clear advantages as well as disadvantages to both. I think this decision is really about lifestyle choices and your income target. Let’s take a look at some of the pros and cons of each.
Selling your work only at retail shows means more travel and many more shows. Work sold at retail immediately returns the entire retail sale price to the maker. While it is possible to develop repeat customers, the retail customer at shows most often will only buy from you once. Retail selling returns immediate rewards, there is little follow-up office work and shipping is usually not a requirement.
Those selling their work at wholesale shows will typically do two or three shows a year. While work sold at your wholesale price returns only half of your retail price, wholesale selling is about taking many orders, and making money from volume. Often orders are dated months in advance and require cash flow to buy materials and pay both personal and professional expenses until payments begin to arrive. The hope is the wholesale buyer will reorder again and again thus spreading the cost of making the initial sale over many orders. Wholesale selling success requires more office work, printing, accounting work and shipping.
What about making a list of the things about the two selling approaches you like and those you dislike, and then similar lists for tasks you are good at and those you prefer are done by others? This exercise will give you a picture of your work/lifestyle and may guide you to the right choice. Don’t be surprised if you conclude a mix of wholesale and retail shows will best help you meet your goals.
Is there any advantage to selling wholesale over retail and vice-versa?
Q: I’m a newbie to the world of shows, and I feel like I’m prepared as far as what to bring for supplies, but are there instances that come up unexpectedly that I may not be ready for?
I assume you have a comprehensive checklist of supplies to bring to a show. It can be helpful to organize this by their function; this will assure you have the tools you need. But alas, you know what they say about the best-made plans. Before you leave home, go online and Goggle hardware stores, copy centers and any other supplier you think you’ll need in the ZIP code or location of the show. You could also contact the presenters and ask for names and addresses of businesses—they should have this readily available and you won’t be the first to ask. Also remember your network: no doubt you will have friends at the show who may be able to assist with an unexpected need.
You will also want to talk to the promoter about the rules and regulations of the venue housing the show, and find out if it is in a union venue. Union policies, which will vary from venue to venue, may be more troublesome for you. These policies may prohibit you from painting your booth on site, draping a table, installing your own lights (seldom are you allowed to plug them in, if it is in a union hall) and moving your freight from the dock to your booth. There may be personnel from the venue to help move your freight, but be absolutely sure of the costs for these services before shipping to or arriving at the show. Some venues charge per box for delivering shipped-in freight, and you need to know these costs before you decide to ship with a commercial carrier. There are a number of art movers who will pick up your booth and materials at your studio and deliver them to your space at the venue; they deal with the unions and all that entails.
I feel like I'm prepared for shows as far as what to bring for supplies, but are there instances that come up unexpectedly?
Just Ask
I’ve heard that if I price my work higher, buyers will think it is worth more and are more likely to buy it. Is this true in the world of crafts? On the one hand, I don’t want to lose buyers because they think my work is overpriced. But on the other hand, I don’t want to lose out on profit because I priced my work too low. How does this concept work in this industry?
I’ve had my wood-carving business for a number of years, and now I am ready to get my work into more galleries and shops. However, I’m not sure that I have the time and experience necessary to do this. Should I hire an artist’s broker/representative? I’ve heard varying opinions (some strong) about this. Would it be beneficial to hire one? Or should I just press on and try to do my own representation?
I’ve created my own website, but I don’t sell off of it. How often should I update it: every week, every month or quarterly? I’m not sure what buyers expect, or what the industry is dictating right now. I usually change it when the changes needed are worth the time it will take from my schedule.
Is there any advantage to selling wholesale over retail and vice-versa?
What are your suggestions on the best retirement areas in the United States that cater to persons with small arts and crafts businesses?
How can I communicate issues and problems to show management without being a squeaky wheel?
Whose fault is it when a gallery sends back an item and it arrives damaged?
Do I have to take back a piece of my handmade jewelry if a customer doesn’t like it?
Should I skip demonstrating my work at shows so I can dress nicer?
Do I need specialized insurance for my craft business?
No one asked but…
