Pricing Formula for my products?

Question

I was wondering how i can get tips and formulas for a Gifts & decor business? I just started my own Gifts & decor business and was having trouble in pricing my products. I buy wholesale and sell retail, how would you calculate the amount for resell? I work from home, have a website, I will buy my own shipping stuff & will rent a mail service box.

Answer 1

Generally, when you start out you price every item about 30% over wholesale price. This does not include shipping; you need to include shipping material costs (flat rate costs with no extra profit included for you) in the seperate price given to buyers at the end of the transaction for shipping nad handling.

After a few weeks or months, you can change pricing according to sales. If something had been selling like hotcakes, maybe you should increase the price by 5 to 10%. If something has not sold, decrease the price.