Business

5 REASONS YOU SHOULD CONFIDENTLY CHARGE FOR YOUR PRODUCT

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Hey lovelies, It’s Monday again! Thank you so much for reading the post on making your customers happy. I am glad you found it useful. I had to add “confidently” because having the confidence to charge for a product seems to be a problem. I had this same issue once. I always bothered myself about what people might feel. Is my product worth it? Will people buy it? Is it not too expensive especially with this economy? So many questions popped up in my head. I remember I had to talk to some of my good friends in business too and this was what I learnt from them.

1) STUDY YOUR NICHE

I totally like the idea of having a niche because sometimes trying to serve everyone can be difficult. But identifying the niche you want to serve saves you lots of drama and grammar.
 I remember someone contacted me for about 4 T-shirts and when I eventually told him the price, he said “Ah, it’s too expensive na. What’s the difference between your own and the ones in the market?” I nicely replied ” My dear, what I serve cannot be compared with what’s in the market. It’s okay if you cannot afford my brand. The ones in the market are not that bad”.
I met another customer who saw my T-shirts on a client. He called and told me he loved the quality and the branding. I told him the price and he said it’s really affordable. Guess how many he bought? Now, you know.
Your niche has a mindset that won’t stress you. Think about it, some people pay N6000 for a dress and others pay N20,000 for that same dress.

2) CREATE QUALITY

If you want to confidently charge for your product, make sure you give it your best. Try as much as possible to get the best prices when sourcing for raw materials but ensure its the best quality. It’s the reason I buy materials for the T-shirts myself and I am also very particular about the sewing and everything that comes after. (I should probably do a video series showing the Tshirt process on IG) . You can’t give a half baked product for an expensive price. Even if people buy, they will never return. You know repeat purchase is a big deal to every one in business.

3) CALCULATE YOUR COST

Every penny you spent in making things come through should be adequately calculated. Energy, time, transport fare, raw materials etc. Make sure you calculate them as cost and that’s why I insist that you possess the negotiating skill when purchasing materials. It will have an effect on your price. Imagine getting quality at an “affordable” rate and that way, you will not run at a loss.

4) DETERMINE YOUR PROFIT:

After writing down your total cost, you have to determine how much profit you will like to make. As a small business, profit range from N1000-N20,000 is fine depending on the kind of product or service you are rendering. Funny enough, we had a discussion on how to determine the pricing of products in the Entrepreneurs hangout group. I will discuss it here once I get a hang of it. This profit should be added to your cost which will be your selling price. You should also determine if delivery rates are inclusive or not.

5) NOTIFY YOUR CUSTOMERS OF INCREMENT

Our economy can be funny sometimes and it really affects the prices of things in the market which will cause your own products to become more expensive. Dollar rate, fuel price, transportation price, artisans etc are things you should look for. When these increments occur, you should send a newsletter to your clients. Don’t take them unawares. Notify them so this will also help them prepare their pockets. In turn, you won’t have to keep explaining to each person and feel bad.
All these should help you confidently state your price because you are not just another person in business. You are someone offering quality and an amazing product.
Do you have any other price tag confidential tip? I will like to read your comments.

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Hey She-boss! I am Joy (Ollie) and I am glad to have you here. I am a God lover who is dedicated to inspiring young creative women and living a fulfilled life. I hope you find my posts useful and don't forget to subscribe for more awesomeness! Thank you for reading!!!❤️

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  1. Pingback: THINGS I WILL TELL A NEWBIE BLOGGER - iModelAfrica

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