Hi,
I have been approached about what my trade pricing is for some of my products? Is there a particular method on how I can work this out?
Cracking question. Be interesting to see what other peoples responses are. Personally we look at volume, and then scale it accordingly. For us, product price may end up being 85% cheaper, but if it is a very high volume, then it's worth it and as product is digital (and essentially created by the customer), it's minimal overhead. I'm guessing unlike maybe yourself where every product requires resource and input to create. You need to work out what your actual costs are (including time), then decide what profit you would like to make on that, then whatever is the smallest amount of profit you are happy with, becomes your trade price. As the grumpy jock Duncan Bannatyne would say, Revenue is vanity, profit is sanity ![]()
Hello personalisedsigns I think my business is probably like yours - I see clients on a one to one basis for careers guidance, outplacement support etc. My fees are already set competitively. I've never agreed to discount my fee levels because if I drop them, I can't do the work to the quality I'd like. Best wishes, Linda Linda CareersPartnershipUK
Following on in the ^Duncan Bannatyne^ kind of frame I'd negotiate with them based on a projection of future orders too. Like as Steve is saying they could order x amount at such and such as an initial tester and if everything is to plan then you can agree to fulfill minimum orders etc at every so often at a cost of x amount, but only make it a 6 month quote or just your 2012 prices. or is it just an office of people wanting ^trade prices^ as a cheeky way of getting money off (if it is it's a bit rude but business is business) If that was the case I'd go along with Linda and maybe offer them a ^Free Sample^ with their company logo or something as a good will gesture for X amount of orders at a price of Paul Green
Haha i always make my price according to my competitor Because i think they will do the all research before for me ![]()
“Haha i always make my price according to my competitor Because i think they will do the all research before for me ![]() How does that work? You have the same costs as your competitor? ![]() |
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