Hi Folks,
When I'm at conventions, I find myself often confronted (quite literally) about my pricing. Not necessarily because I charge too much, but more so because I charge too little for my products. Doing conventions for over 15 years, I've only gradually changed my pricing to reflect more modern prices that match other people's. However, I still keep my work on the lower end, and it has ruffled feathers more than once and actually had folks physically shouting at me at my table (which I still can't shake from my mind).
So I wanted to make a post about my margins and my personal thought process of pricing, which has NO reflection on other artists and their choices! This is my own philosophy, my own decisions, and I'd rather they be respected even if they seem ridiculous.
There's a lot to think about when pricing my products, and the simplest formula that people have made is just x3-4 the cost of production (which includes shipping). That's where you end up with keychains that range between $15-25 usd or stickers being for $5 dollars a piece.
When you're a person making merchandise on the reg, you can look around at other people's pricing and kind of speculate what their cost per piece will be since you have experience making those same products one way or another. So, for me and I'm sure many others, I can walk around estimating profit margins of each product someone is making. Which is fun in its own way, but also speaks nothing to a person's character or whether they're actually making any money at a show!
Which leads into: For those who think that's a lot of money for a trinket, it's not necessarily out of malice or shaking people for every dollar they have. It's a choice that some artists make because they have certain personal goals to meet, or they have found those numbers do particularly well with their audience base. Whatever it is, it's an individual person's choice to choose a price for their work, and that's how they want it to be valued. This should also apply to those who price their work on the lower end. Should.
You'd think there would be fewer complaints from customers. Well... sometimes people know the margins of my work and are shocked I'd rather be making less money.
I came from an era where I felt the income that came from Artist Alley was good walking-around money, and at a certain point I had to rely on it as major income. But now I'm in a position again to happily see it as some walking-around money to experiment with my work and to produce things specifically for my audience base that love to see the weird stuff I'm doing with no real end goal. An artist with a minor budget to try out new things for the sake of making it. The dream! Truly. And a privilege that isn't lost on me.
Because of this, I can set my prices where I'm personally comfortable, in hopes of giving people who enjoy my work access to it. Does that mean I should be setting my prices low? No. Does that mean I don't value my work? No! It's, again, a choice I've made based on my goals and what I see responds well with my audience.
Some products I make simply DO NOT sell to make Money
Books are the prime example of this. The margins are VERY slim for me. They weigh a lot, they cost a lot to make, but are the most fulfilling objects I have at my table, so I keep doing it. While my zines have better margins, the larger books are basically just paying for themselves, and I don't mind it. There are other products that help keep it balanced, like prints and enamel pins.
Example:
Perennial - Hardcover, 52 pages, Full color
$13 dollars per book to produce
$20 dollars sell price
I basically make enough money to pay for the printing and maybe like half of a reprint. HA! Though considering it's such a personal book, I just want it in hands of people who are inspired by my work or original characters. It's a sacrifice I'd rather make for the joy of making things, which is perhaps Doujin-core of me. BUT I also know that people wouldn't buy it in the $35- $40 range. It's too small and too costly and I'd rather not have these books rotting in my garage.
"People wont buy your work if it's TOO cheap."
While this can be true, I found a spot in my pricing that sits well so as not to undervalue my work and labor and the cost of making the product. I've been doing conventions and selling my art since I was 15, (currently 33), and while the landscape has changed completely, some buying philosophies and marketing practices haven't. People do buy my work, and more often than not, people appreciate it. The folks who don't often buy my work are also the ones who are critical of my pricing being too low. My friends tell me to say "I accept monetary tips" to these kinds of people if they see more value in my work, but I usually am stunlocked by these sudden confrontations that I end up just saying something very passive. I gotta work on that.
Maybe you’re bad at business?
Sure! Maybe! I never claimed I wanted to be in business with my merch. HA! Right now, at least, I am simply a guy making stuff and sometimes releasing it to people who follow me and wish to support me. My only current ways for people to support me are: buying stuff at cons, tipping me on my ko-fi, buying things during my very very rare pop up, or putting money into my “members only” area on my website. Otherwise, private commissioners and publishers fund me. Which I’m comfortable with.
All to say, please don't be afraid to stick to your guns. Find people who understand you and discuss with them about how you should be pricing things. Ask yourself: What are your goals? What do you want from producing said item? Is this for my client base or is it for me? Is your goal to only make money or is there something else you feel passionate about? Do you need to monetize that passion?