Comments on: Why Do Mom-Made Products Seem to Cost So Much?

By: Jamie R Lentzner

Jamie R Lentzner — Wed, 09 Jul 2008 19:19:47 +0000

Great article, great advice and information that I wish ALL of my accounts had. The fact of the matter is, if you want it made int he USA you are going pay. We have been in business for over five years and have had to raise our shipping prices every year, due to the cost of oil now our charges are HIGH. As for prices of our products – we refuse to raise them this year, or last. The economy is not great, so I would rather take a smaller profit on my per tile sale than gouge the customer. Something small businesses can remember that the bigger they get the more supplies they need and they can buy in bulk – to pass that savings on to the consumer.

Jamie R Lentzner
owner & founder of Jamie’s Painting & Design
http://www.jpd.typepad.com

By: Debbie Savage

Debbie Savage — Thu, 03 Jul 2008 03:33:13 +0000

Awesome article! Thanks for shedding light on this aspect of running a business. Wow, do business expenses add up…especially when you are wanting it to grow. Since, Heather asked for my feedback which was I believe a few months ago we have incurred additional business expenses in gearing our business for national growth such as obtained SKU, secured overseas suppliers, marketing collateral, custom jewelry box creation to name a few. It can get a bit overwhelming but keeping the end goal in mind helps a lot!

I was given a great piece of advice from a mom entrepreneur and friend whose product has been on Oprah, The View, & Today’s Show who shared with me that “As your business grows, so do expenses. That is a fact of life in business in general.” Wow, this bit of advice came at a good time in my business path. It is a delicate balance to offer a superior product and pricing the item appropriately for the consumer.

By: Heather from Mom 4 Life

Heather from Mom 4 Life — Sun, 08 Jun 2008 05:28:22 +0000

Thanks Jamie for your input and feedback, I can totally understand what you are explaining!

By: Jamie Bird

Jamie Bird — Sun, 08 Jun 2008 04:48:19 +0000

Heather, I could not agree with you more! When I started out I did not have the resources to buy huge amounts in bulk, so I was paying straight retail for all my fabrics. Even spending $100 to buy discounted fabric was not an option. Finding the right balance between having the very best quality, yet not being outrageous price-wise is a huge challenge.

I have a friend that works with a home based business–like AVON, Mary Kay, Silpada, etc. Even just having the marketing materials–brochures with products in them presented beautifully, would cost me hundreds of dollars to create. Over time, my costs have come down as I was able to purchase more, but in the beginning it was difficult to stay competitive- especially with national brands.

By: startupprincess

startupprincess — Wed, 04 Jun 2008 19:32:00 +0000

Thanks Sherry, companies like Melaleuca can be awesome for consumers, I agree. There’s lots of products out there that MLM companies don’t sell, so for those wants/needs this article did a great job of explaining the value behind the products and the “whys” for pricing, etc. specifically as our mom entrepreneurs at Startup Princess are seeking for ways to distribute their unique products and explain themselves to consumers.

By: Sherry

Sherry — Wed, 04 Jun 2008 17:16:05 +0000

Melaleuca.com

If you are interested in learning how to become a preferred customer let me know. Also there are several promotions this month, like a $100 in free products, half-price membership, a laptop if you want to build a business and open 8 accounts this month. Personally, being a member is the only way to go, since you get 30-40% discounts, and so much more.

By: startupprincess

startupprincess — Wed, 04 Jun 2008 17:08:59 +0000

Sherry, what is the consumer direct marketing company called??

By: Sherry

Sherry — Wed, 04 Jun 2008 16:25:09 +0000

Hey everyone, I cut out the middle men by opening an account with a consumer direct marketing company. It’s awesome, I have eco-friendly products that are safer for my family and our planet! I can even try them for 60 days and if I don’t like them I get my money back. So cut out the middle men and have safer products. You will be glad you did!

By: Sarah Burns

Sarah Burns — Tue, 03 Jun 2008 02:05:31 +0000

Mahalo for this article! I am in the midst of creating my product, Tag a Towels and starting up my own business. I want to offer the best quality at a reasonable price and of course I want to make money for my family. I am right in the middle of determining pricing and this article rang so true for me…there is SO much that goes into developing an idea, it sure does give me an even greater respect for anyone, especially moms, for bringing their idea to fruition!

By: Heather from Mom 4 Life

Heather from Mom 4 Life — Mon, 02 Jun 2008 23:55:54 +0000

Rosejack,
You are correct that the products themselves are often not costly. One of the possible reasons that costs are higher is “middle men” but there are a host of other factors as well. As I tried to explain above, it is all the extra details (that the consumer often doesn’t even realize are there) that create the need to raise the price. My article was an attempt to lay out all the hidden costs that go into creating and marketing a product in order to create a greater understanding of the reason why costs are often higher for mom made items.