What to charge (long w/pics)

[Cecil Arnold]

I made these boxes about three years ago for Christmas presents for some of our friends. I’m now thinking about making another batch to put in some local craft shows, but wonder if I’ll have to price them beyond what may be supportable at even a “high end” show. The problem is that they just cost a lot to build and cutting the quality doesn’t seem wise. Here’s a description of the boxes to go with the pictures.
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They are the same basic box, one is left square and the other is routed for a round effect. The inlays are standard that can be found at Woodcraft and many other outlets. The boxes are constructed from ½” stock, in this case mahogany, basswood, and imbuya (sp?) with through dovetails cut on a D4. The bottom is 1/8” BB, and the inside top, bottom, and tray are covered with brown suede leather. The tray sides are from leftover imbuya. The hinges are Brusso. The top and bottom are separated by a 1/8” rosewood strip miter cut and glued in place. Both boxes are finished with about 6 coats of NC lacquer and rubbed out.
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My problem is cost to construct. Wood cost is not too great but in this case represents over $5 per box. Hinges are $18-20 per pair, and leather is $7-10 each. By the time I include contact cement for the leather, lacquer (it took a gallon to do 5 boxes at $20) and the little latch (only $1) I’m looking at $40-50 to build. I have an idea what I would want to ask for these, but I’m looking for input from this wise, diverse group. So here’s the questions:
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Do you think there is a good market (or any kind of market) for such boxes?
Would you consider “high end” craft shows a good outlet, or some other venue?
What price would you think is reasonable?

[Joe Pelonio]

If it costs you $40 and sell for $80 and you spend an hour making it that's $40/hour, a little low I'd say but not bad, but if you spend 4 hours per box you're barely above minimum wage.

I did take a class on selling artwork that covered shows. The really classy shows are "juried" and you have to submit samples and slides of your work for the administrators to decide whether your work is fit for their show.

One method for determining the value is to price the item (or as close as possible) at places: a) "exclusive" stores/galleries, b) mall stores, & c) online sales sites.

People going to the better shows expect to pay more than at b or c, but less than at a. Otherwise you may make a few sales to people who really like your work but may lose others who figure they can get it for the same price elsewhere.

People going to the more local craft shows, or Saturday Markets are looking for bargains, and it's hard to sell anything over $50. There are of course exceptions like in very affluent areas.

I am not the least bit familiar with prices on beautiful original hand made boxes like yours, so can't really put a price on it. The class also covered consignment and I have done that at galleries with my stained glass with mixed results. The problem is you have to price it really high because they get 45%, so the best items to sell that way are those that you can produce quickly with minimal materials cost. On the other hand I did get referrals for custom jobs and for that we only had to give 10%.

Then there is selling outright wholesale. Depending on the purpose of your boxes, you'd talk to stores about buying them for a price that you find satisfactory but also allows them to resell for a good profit. For example you could market them as jewelry boxes and sell to non-chain jewelry stores. At chains you have to get to the buyers which may not be local.

[Perry Holbrook]

At a quality craft show, they would sell for $250 to $350 in most market areas, IMHO. Wholesale would be half that. If you have a quality craft gallery in your area, visit them and see what you think.

Your approach to pricing is a good one. Prices should be set at "what the market will bare". Once you have that number, work backward to see if you can afford to sell it for that. Be sure to include ALL expenses. Perry