Appropriate Profit Percentage to Build into a Price?
by Helen M.
I make simple-style handmade jewellery, using sterling silver, gold filled or silver plated findings.
The main components are semi-precious stone beads, crystal or glass beads, shell or freshwater pearls, depending on the item.
I focus on earrings and pendants.
I only sell on ebay – “the biggest shopping window” (in theory at least).
On the whole, my jewellery prices range from £3-£25 (giving me 10%-20% profit, depending on item).
Pricing always worries me – too cheap and the jewellery could be seen as rubbish and not bought; too expensive and the jewellery out-prices itself and doesn’t get bought.
My question is … would pricing items giving a 25% clear profit margin to me, be considered as being too greedy?
Guidance would be appreciated as to what people think to this percentage. Thank you in advance.