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The Cost of Handmade – Are You Getting Ripped off?

July 23, 2015

From time to time, I’ll be browsing some handmade goodies (online or in a shop or at a market stall) and see someone complaining about the price. And not just comments like, ‘Oh, I wish I could afford that’ but nasty comments like, ‘What a rip off?’. I want to chase them down and tell them off! Don’t they know what it costs to make something? I don’t sell what I make but this attitude still drives me nuts! So, I’m going to explain the cost of handmade to you here because I believe that this attitude stems from ignorance about the costs and time involved in making.
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We have become all too familiar with bargain priced everything – from clothes to shoes to consumer goods. We all know that there has to a human toll to create things at those prices. We know that someone in a sweatshop is being paid cents per day to make it. We know that these items are made by the hundreds of thousands. And we all know that the fit of those garments is far from custom. I’m not even going to remind you about quality.
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So with that in mind, why buy handmade? 
  • You can’t get what you want mass produced
  • You want something unique or limited
  • You want a custom size/fit/style
  • You want something of lasting quality
  • You want an item that meets your ethical standards

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These are all cool reasons! I make for myself for all of these reasons but sometimes, I just can’t be bothered learning a specific skill so I buy it handmade. Sometimes I just fall in love! Do your research, compare prices, look at all the options both mass produced and handmade. But if you come to a place where the thing you really want is a handmade item and you’ve found someone selling it – don’t whine about the price! I’m dying for a Spunkarella pettiflirt and I think they’re very reasonably priced for the work involved in making one. But even if I thought it was overpriced, that’s what it costs and I have no right to quibble. I could buy something that looks similar much cheaper but it’s the overall quality I want so I will wait. I haven’t bought one because I know I will never wear it often enough to justify spending on it right now. Maybe I’ll start wearing more circle skirts and it will be more of a need that a want. Don’t worry it’s on my wish list and I’ll buy one eventually.

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Now, let’s get back to what handmade costs (I am talking in Australian dollars and Australian prices etc because I live here). I’m going to charge the minimum wage of $18.99, what I would earn flipping burgers. I’m going to make this skirt as a one off commission for someone with a waist measurement similar to me. Here’s the breakdown

the cost of handmade watermark

Suddenly, that’s one pricey skirt! How can I afford to sew for myself? Well, I don’t need to buy specific fabric, I can use what I have on hand or buy limited qualities from op shops, online or on sale. I’m not worried about making several from the same fabric. I buy zippers in bulk and don’t worry about perfect colour matches and other cost saving measures. Of course I’m not paying my own time but I do have to find the time.
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The second you really take this sort of thing on as business there are even more cost to add in. I’m not going to go crazy listing them because I think that someone said it better! Have a read of this post, it starts with a complaint and then others chime in with why things cost what they do. It really is worth the read but here are some of the more salient points:

  • You’re paying not just for time & materials, you’re paying for the persons skill and the investments they’ve made to become skilled.
  • It is illegal to make and sell from commercial patterns, so patterns must either be drafted by the maker (or sometimes you can buy a sale license from indie pattern makers).
  • Overheads like power, machine servicing/repairs, needles, insurance etc must be factored into the cost.
  • Handmade sellers are both the wholesaler & retailer. Therefore, online fees or stall fees plus time taken to photograph and list products and advertising must be factored in. Oh and packaging and posting take time.
  • To keep costs down, buying fabric or other items in bulk makes sense but this keeps money tied up in stock. Plus you need to store it.
  • If you want a more accurate breakdown on all the steps, this post is great!
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So perhaps you can see why handmade costs what it does! I don’t know of a handmade business where the owner is paying themselves a living wage. Not even minimum wage. I really understand that handmade prices may be out of your reach but please don’t think you are being ripped off! It’s quite disheartening when people are rude about pricing. I have friends that have put time into making products to sell, paid their market fees, packed the car, spent all day looking after their stalls only to hear complaints all day.  I’m not saying you have to buy what’s on offer but please be nice about the price! Imagine if you went to work and had customers asking you to lower your hourly wage? So perhaps instead of asking ‘Am I getting ripped off?’ when you are buying handmade, start thinking about what it takes to bring that product to market.

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