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How to Price Handmade Cards

Successfully Pricing Handmade Cards is Crucial to a Cardmaking Business

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One of the challenges that rubber stampers face when selling handmade cards is setting the price. The price of the card needs to reflect the work and the materials used, yet also needs to ensure that the card is affordable for the customer. Selling cards too cheaply devalues the work of the card maker and can actually end up leaving them out of pocket, while cards that are too highly priced will not sell. At the very best this might involve wasted time, at the worst it could also result in lost money that has been spent buying supplies and in lost business opportunities.

How to Price Handmade Cards

There are two key factors that need to be taken into account when pricing rubber stamped handmade cards:

Costs

The cost of making the card is broken down into the following areas:

  • Cost of materials - this includes everything that is used to make the cards such as rubber stamps, inks, embellishments, packaging and card blanks
  • Cost of labor - working out the cost of labor is a vital part of getting the cost right. It is essential that you cover the cost of your time. This should include the time it takes to make the cards, as well as the time involved in marketing and promoting the business, creating new designs, administration and other day to day aspects of running a card business.
  • Overheads - the cost of overheads will include the cost of light and heat, any transport costs, telephone and Internet charges, stationery and any other costs that are incurred when making and selling the cards.
  • Trade prices and commissions - remember that when you are selling cards through third parties, they will generally expect either a trade price, which will be less than the normal retail price, or they will take a commission on the sale. Either way the amount that you receive will be less than the amount that you receive if you sell the cards direct. This cost will need to be taken into account when budgeting.
The Market

The other key factor when pricing hand made cards is what the market will bear. If, after costing all the individual elements of making the card, the cost is much too high for the chosen market then the cards will fail to sell. Taking a good at the price of cards already available will help to determine a good price level.

  • If the prices are too high - if, after working out the costs and researching what the market will bear, the potential pricing of the cards is too high, take another look at the card designs and see if there is anything that can be adjusted. There is little point in proceeding with the cards if they are over priced in the market place. This might include looking for cheaper materials, cutting out some embellishments or looking for time saving techniques.

If you really don't want to change the design or the materials used, then the other option is to look for a market where higher priced cards are acceptable.

  • If the prices are too low - this might seem like less of a problem, however if the costs of the cards are perceived as being low then the cards might be seen as being 'cheap'. This in itself might put off potential customers. While finding that the potential costs of handmade cards are too low is extremely rare, it is also worth checking and double checking your figures!
Correctly pricing cards is part of the foundations required on which to build a profitable and successful handmade card business.

Further Reading About Making and Selling Handmade Cards

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