Carrying product no matter what it is there comes a time when you need to make a decision on raising or lowering prices to fit the market needs.
Right now with the way the economy is many wonder if this is the time to raise costs of their products. By raising costs in our depressed economy you may think that this would hurt a company. In many cases it just might. If the general public is struggling in their own homes to pay bills and general expenses how will they find the money to purchase your items that you have just raised?
In being a niche business which leans towards one particular type of client the price sometimes does not deter the customer as they feel the need to purchase whatever it is they want.
Right now I am at a cross roads so to speak on raising some of my general prices to meet with the times as they are right now. Many of my vendors have raised their costs which raises the cost I must add in to the item that I sell. Shipping has also had a major effect on my products which I purchase in order to make and sell these products.
Sitting down and figuring out how much to raise and when is the pain in my head. Not wishing to price myself right out of the market, but not wishing to just making a few cents per item is also not worth it.
Yesterday after filling 65 1 ounce bottles of oils for one order alone I came to the conclusion that something had to give. I decided to analyze the total cost down to the penny in the making and sending of my biggest products.
Taking into account everything from the making of the oils (i.e. herbs, base) to the packaging and labeling (i.e. bottles, labels, bubble wrap, tape) of the oil products.
I will doing this for each and every product in the store to see where and what should be raised or lowered (if need be).
Sounds like a really exciting day
