by Carolyn Edlund
Mindset plays a role in how you price and position your products, the marketplace you choose, and your confidence level.
Pricing and money can be uncomfortable subjects for artists. It’s not unusual for artists and makers to experience a lack of clarity or wonder whether their work is “worthy enough” to price it profitably.
Some artists may feel that they aren’t making anything that’s really special and therefore shouldn’t charge too much. Or, that the items they offer “didn’t take that much time” and thus deserve a lower price.
The truth is that even if many people could create the same things, they aren’t doing it. The artist is using their time to design and make a body of work and taking it to market. It’s important to understand how others view your work and the value they place on it; this perception plays a large part in what the market will bear. Prices can vary widely for art and handmade work. There are many reasons why customers will buy at different price points.
Don’t fall into a mind trap by thinking that “it’s all about price” because that is actually not true. You have the power to decide where you will sell your work. Will you choose in-person or online venues that attract a more affluent audience? Or will you sell at events where the average price point is much lower? One thing we know for sure is that bargain shoppers are not your audience. Don’t plan to be the cheapest seller in the marketplace to please them.
Artists and makers often start out on Etsy, or another online shopping site. They may learn that someone else there is selling similar items, but cheaper. This spurs them to move their own prices even lower out of fear. The result? No one is making any money. Many vendors on these websites have no idea that they aren’t earning anything. Or they may be hobbyists who only want to make the cost of their materials back. You cannot compete with them if you truly want to start a profitable small business. Lowering prices out of desperation is a race to the bottom.
So, what is your art worth? Your sales history may reflect that you have been selling to the wrong customer in the past. You aren’t locked into selling to people who approach you to buy, which is a passive and ineffective way to do business.
Understand that you have the power to choose your customers. You can do this by carefully selecting your market sector, the way you present your brand, and the message you share about your work. These decisions are strategic ways to position yourself as an artist, and they are empowering. You cannot control whether shoppers purchase from you, but you can present your portfolio at a certain price range and in markets that can accommodate the prices you need to charge to be profitable.
You are Not Your Customer
Avoid judging the value of your work or setting prices based on your own situation. It is entirely possible that you could never afford to buy your own artwork. That isn’t unusual. Artists are usually not peers of their ideal customers.
Can you sell artwork at a very high price point? Artists do it all the time. There are buyers with all sizes of pocketbooks. You really can never know the budget of a potential customer. They may be able to not only afford one piece of your work, but can buy multiple pieces without a second thought.
Knowing this, when speaking to potential collectors, go big and present some of your more expensive works first to gauge their reaction. If the price range is too high, you can move to lower-priced pieces. Don’t start with your low-priced work at first, however, as it is harder to work up in price.
And don’t make assumptions about what customers can afford. If they agree to buy a work of art, don’t start wrapping it immediately as if they won’t buy a second item. Ask if they would like to see more of your work. If they say yes, you might end up with a multiple sale. When you are open to this, you may be surprised to find that you sell more than you expected!
Over time, experience (and especially face-to-face experience) will teach you who your customers are, why they are buying, and their reaction to your prices. Use what you learn to readjust your marketing and sales strategies, and your mindset to being open to selling more and higher-priced art.