HOW DO I CALCULATE PRICING?
-Material costs > paper/ ink/ glue/ digital software
-Origination of artwork > if for a commission, I consider the creation of new content
-Labour > time and process carried out e.g. screen preparation and printing time, time spent drawing
-Edition > a limited edition would be higher priced than an open edition for economy of scale
-Fees > travel costs to distribute work/ paying for a table at a print fair
My process is:
1. How much have I spent on materials and how does this work out per item/ per outcome?
2. How much time have I spent on the work? Longer processes and more complex work would be higher priced.
3. Is the item produced in a desirable media, can a profit be made from luxury of craft?
4. How large is my edition? People are paying for the luxury of owning a link in a wider chain, how long is that chain?
5. Will I be paying for space to sell? Table fee/ online insertion fee/ final sale fee
MATERIAL COSTS + FEES + VALUE OF EDITION + LABOUR + OWNERSHIP = PRICE OF PRODUCTION
COST OF SIMILAR PRODUCTS ON MARKET AS MODEL
MARKET EXAMPLE PRICE - PRODUCTION COSTS = POTENTIAL PROFIT
Does the profit make my practice viable? Do I need to increase the price of my labour?
HOW MUCH HAS IT COST ME TO MAKE IT? HOW MUCH CAN I SELL IT FOR? DOES THE PROFIT COVER MY LABOUR, TIME AND OWNERSHIP? IS THERE ANYTHING LEFT OVER?
EXAMPLES OF COMPETITORS I MAY USE AS MARKET EXAMPLES:
5.B.
As a task this was quite challenging because as a student, some of the elements do not necessarily come round annually and of course I will not be repaying a whole year of student maintenance loan back in one go.
OTHER THINGS I CONSIDER IN MY BUDGETING:
Income
-2 x part time jobs
-online sales
-holiday pay
-gift money
-bank interest
Expenditure
-rent/bills/overheads covered by myself and 2 other flatmate > not solely responsible
-admin fees
-start up fees for wifi etc
-daily/weekly essentials
-things that add value to my life
-desirables
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