Pricing Tips for Handmade or Etsy Products: “No one will ever pay THAT much for my products” + what to do about it
Are you scared of putting your handmade product prices up because you think that no one will ever buy them if you do?
I totally get that. You might have used a pricing calculator to crunch your numbers (if you haven’t you can find the free handmade pricing calculator here) and got a lil’ scared at what the result was: “No way anyone will ever pay THAT much”.
If that sounds about right, we need to talk my friend. Let me prove you wrong 😉
You can watch the video, or read the post below.
Let me be very clear and set the record straight: YES, there ARE people willing to pay THAT much for your products. If you can’t see or understand that yet, it’s because you’re still trying to sell to people who will never buy from you, and that you shouldn’t try to sell to.
I recently had a conversation with a talented maker that was struggling to pay herself out of the very hard work and many hours she’d spend on her shop each week… because her prices were too low. When I asked her why she wasn’t putting them up, she told me she couldn’t because people are used to prices they see at Target or Kmart or any other bigger store out there. This BROKE my heart.
Listen, you are not competing with big buck stores. You are not competing with stores that have a factory behind them, a huge list of distribution partners, a massive economy of scale… you simply are not. You can’t. If you try, you will fail in an epic way. Your customers are NOT the people who would compare your product to an equivalent at Target. Don’t even worry about these people. They’re not for you, you’re not for them.
Once you accept that, your next thought is most likely going to be “everyone shops at Target, that leaves me with a super tiny market – there will never be enough people willing to pay THAT price”. Again, let me enthusiastically debunk that for you:
- First, even if there is only a small percentage of customers worldwide willing to pay a fair price for your products, that’s still millions of people. I can guarantee you that’s a big enough market.
- Second, you don’t even need a big market! When you finally charge what you’re worth, this magical thing happens where you actually need FEWER customers to make the same amount of money.
- Finally, saying that people who shop at Target will never buy from you is not completely accurate. Take me as an example: I shop at Target. It’s not my favorite shop and I’d much rather buy everything handmade
Bottom line is: If you know you’re not charging enough, and you are serious about growing your shop and making a part or full-time income from it, then you already know that you need to put your prices up. You just needed someone to remind you of it and hopefully, I did an ok job at it. If you’re still thinking: “meeeeh. Not sure” then I recommend you read another post of mine all about your pricing fears. It’s one of my absolute favorites and I think you’ll take away a lot from it.
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