There are many ways of determining the prices of the product you're selling. One common factor is to set a profit margin of not less than 20 percent of the cost of the products. There are items that are fast selling because it's considered a basic commodity, in which case one will have to observe the. surrounding community because these are also regulated products and has a price ceiling. It's of an advantage if you're the sole maker of the product because you can dictate your price as long as it's competitive with some. similar products.
How do you price your products?!
- Thread starter relcap23
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- #3
That is most likely to happen because Milk tea is already an industry itself and price is dictated by market. But some. milk tea especially the popular ones are a bit pricey than the others though the difference is not very significant.
When pricing a product, you need to consider the cost of production and the target profit margin. You also need to know the demand of your product in the market and the price set by your competitors.
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- #7
You can make a research on what is the prevailing rate in your community for services that you offer. This way you are giving a competitive price and you can gauge from there if you have to lower or increase your price in comparison with the others. You can determine if you think you're better then you can price more.
I have some work and my custom script is done. It has many features as other from what I can see but also it have what others don't have so I it is not easy determine price.
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- #9
There maybe other people doing it in other places. If still you can't find one then the best is to determine your own market price and then compute the amount of effort and time you spent doing that project and of course you have to make consideration on the level of your expertise in that field. It's the same as making a feasibility study on some projects which is priced per package and it runs up to thousand dollars per study project.
As long as there are other people that are offering the same products and services that you are offering, you can easily research and know what they are offering to know the price you're going to put your own.
When pricing your product, for a reseller, you need to consider the market price or the general price of the product so you don't make yours too high or too low, and if you are a producer of a product try checking prices of similar products too
I think your cost of production is very important to determine the price for a producer. Also, if you are into sales, you need to consider the landing costs. These two respective costs all add up with prevailing market price to help you price your products.
I price my services based on the cost ot would take me to provide that service. And the time/ efforts that would be put in.
