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How I price my Etsy items.

Pricing is definitely one of the hardest parts of organizing an Etsy shop, at least for me. I've rearranged my pricing scheme numerous times in the past few months, trying to find the perfect price point. I don't want to price things too low, making my items seem cheap. Nor do I want to price them too high, making me seem delusional. Price comparisons inside my shop should make sense too, so that customers understand why some things cost more than others.

I definitely don't claim to have all the answers, but here's how I settled on my current pricing. I've found that there are two basic ways to price my items: by yarn content or by hat style. As much as pricing by content makes more sense to me, I wasn't sure this was the way to go. While I know that Bamboo yarn is more expensive than Acrylic, will an average Etsy customer?

I decided to price instead based on style, not content. Ribbed hats should be all one price, and cabled hats another price, regardless of what type of yarn they're made out of. I think this will make pricing simple and not too confusing. Hopefully.

I also settled on pricing all my items within the $20-30 price point. Lower than that feels like I'm giving my products away, but higher seems a little presumptive. Will this price scheme work? I guess only time will tell.


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