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PRICING
You made something beautiful. And now you need to figure out what to charge for it.
Almost every maker struggles with this — so if you're staring at a price tag with no idea where to start, you're in good company. Here's what you need to know.
Before You Price Anything: Know Your Cost
Every pricing formula starts with one number: what does it actually cost you to make one item?
Add up three things:
Materials - every supply that goes into the finished product. Oils, fragrance, packaging, labels. Every single thing.
Packaging - boxes, tissue, ribbon, tags, bags. Don't skip this one.
Your time - pick an hourly rate you want to pay yourself, then figure out how long each item takes to make (including setup and cleanup, not just the fun part).
Hourly rate ÷ 60 × minutes per item = labor cost per item
Example: $20/hour, 15 minutes per bar of soap → $20 ÷ 60 × 15 = $5.00 in labor
Add materials + packaging + labor together. That's your Cost of Goods (COG). Write it down. Everything else builds on this number.
Pricing for Markets & Craft Fairs
COG × 2 = Your Retail Price
That multiplier covers your booth fees, travel, display costs, and leaves room for actual profit — not just reimbursement for your supplies.
Things to factor in:
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Divide your booth fee by the number of items you expect to sell — that's your per-item booth cost
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Your time at the event counts too, even when you're not making anything
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Don't slash prices at the end of the day to clear inventory — selling a few things at your real price beats selling everything at a loss
Pricing for Wholesale
Wholesale means selling to a shop or boutique, who then sells to their customers. Retailers typically need to double what they pay you — that's just how retail works.
COG × 2 = Wholesale Price
Wholesale Price × 2 = Retail Price
Example: Soap costs $5 to make → Wholesale price $10 → Boutique sells it for $20
This is why your retail prices matter from day one. If you've been pricing too low at markets, wholesale will feel impossible. Getting your retail price right gives you the flexibility to wholesale later, even if you're not ready yet.
Pricing for Online Sales
Start with your retail price, then account for platform fees on top.
Every platform takes a cut — some more than others.
A few things online sellers often forget to include:
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Shipping costs (if you offer free shipping, it has to come from somewhere)
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Time spent photographing, listing, and managing orders
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A small buffer for the occasional return or mistake
ETSY Listing fee: $0.20 per item (renews every 4 months)
Transaction fee: 6.5% of the sale price (including shipping)
Payment processing: 3% + $0.25 per order (US sellers)
Offsite Ads: 15% if a buyer found you through an Etsy ad (mandatory once you hit $10K/year)
Total fees typically run 10–15% per sale, sometimes more
SHOPIFY Monthly plan: Starting at $29/month (Basic)
Payment processing: 2.9% + $0.30 per transaction (using Shopify Payments)
Third-party payment fee: Additional 2% if you don't use Shopify Payments
AMAZON HANDMADE Monthly fee: Waived for approved handmade sellers
Listing fee: None
Referral fee: 15% of the total sale price (including shipping)
Pricing Custom Orders
Custom work deserves a premium. You're not just making a product — you're making their product, on their timeline.
Start with your closest standard item price, then add:
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Time for back-and-forth communication
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Any extra complexity or materials
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A rush fee if they need it quickly (20–30% is completely normal)
Always take a deposit before you start — 50% upfront is standard. Be clear upfront about what's included, how many revisions are covered, and your turnaround time.