Pricing ? How To ?

[Young Aussie]

Dear All

Just wondering how you all price your work ? I have read a number of ways to do this but was wondering your methods and how we all compare ?

I have not opened my store yet, but was thinking I might price my work in the following way...

Place 100% mark up on all mouldings, charge $10 for any mat 0 an additional $5 per additional mat. Then depending on size a flat fee for construction etc starting from $30 for a small frame up to $100 + for larger frames ? I was also thinking about adding $5 - $10 for other materials, glass, v-nails, wire etc etc.

Not being in business yet I might do up a few examples and shop around town for how I would compare. Does my method sound too expensive or cheap or just about right ?

Many thanks in advance

Chris
Australia

[Framerguy]

Chris,

Welcome to the Grumble!!

Your concept of pricing is unique to say the least. Have you done a "Search" of the archives in the Grumble yet to see what has already been discussed about pricing? There are gobs of posts on this subject and it has been hashed around and bantered about ad nauseum by one person or another.

I know that, as new framers come on board the Grumble, these same questions will pop up over and over again, the first thing to do is a search for what has already been said and then ask any questions for which you found no answers.

I'll just start you off by saying that your mat pricing won't earn you much of a profit at all. For a double mat you need to take into consideration the total wholesale cost of both boards plus a profitable markup on the materials plus the labor to cut them to size and make the openings in them and a waste factor.

What will you do for a multi opening board?

How will you price out suede and linen boards and any other specialty boards?

What if you have to cut a cameo opening or a nameplate opening in the boards?

How will you price out foam board spacers between 2 or more mat boards?

What about reverse bevels, price the same, more, less?

I didn't touch on fillets in mat openings or inlays or V-grooves or carved mats or French lines/panels or embossing or odd cuts or a multitude of other things that are done to mat boards.

Good luck and keep an open mind about how you are going to solve your problems.

Framerguy

[Bob Roy]

Start by doing a search on pricing. Search The Grumble, Grumble Archive. and Business Issues forums. There is a huge amount of information (and some wisdom) to be found there.

Learn about and understand COGS (cost of goods sold). Once you understand it, write up a couple of sample jobs using your pricing model and see what it gives you. You will probably see that your markups are inadequate to sustain a business.

BTW glazing isn't an afterthought to be lumped in with other materials. It is a good source of profit in its own right. If you do the reading I suggested, that will become quite evident.

Columba Publishing (http://www.columbapublishing.com/) has many books on framing. In particular Pricing Custom Framing (http://columbapublishing.com/shopsite_sc/store/html/book-pricing.html) (see also the Articles of Framing) might help you get a sense of how you need to approach pricing. The formula approach leaves something to be desired but is a good starting point. See this thread (http://www.thegrumble.com/ubb/ultimatebb.php?ubb=get_topic;f=11;t=000219#000000)

[Jerry Ervin]

One very basic point that a lot of folks never get is, custom picture framing is manufacturing products one at a time. We are not basic retail.

Standard retail markups just doesn't work.

[Young Aussie]

Thanks very much guys, the Columba Publishing Link is great, I have been looking for something like that for ages !!

I shall check them out and buy a few I think.

Does anyone have any second hand they no longer need that I can buy from you ?

Regards and thanks
Chris

[froptop]

Chris,
Have you ever worked in a frame shop??

Could be invaluable. You would get a sense of all the variables and there are many.

A little bit of experience goes a loooong way!