#MakingItPodcourse: Money | Lesson 9: Charge What You’re Worth

 

Undercharging is a HUGE problem in the handmade business community.

In this episode, I outline why this not only hurts you – but everyone else, too.

And, I discuss why charging what you – and your work – is worth, is so crucial to your businesses ongoing survival & success.

 

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Listen to Lesson 9:

 

 


 

 

What is the Making It Podcourse?

Over four weeks in July 2018, I’ll be releasing an episode/lesson of this course every day via the Create & Thrive Podcast (30 in total) on the topics of mindset, money, marketing, and business management.

I’ve created this course specifically for makers – those who create handmade goods to sell.

To create this FREE course, I’ve drawn on my 10 years of experience running my own successful handmade business, coupled with over 5 years of teaching other makers about handmade business right here at Create & Thrive.

I wanted to create something that was actionable and practical for all makers, no matter what stage of business you are at, and that would allow you to dig deep into 4 key aspects of the crafty biz journey.

I hope it helps your handmade business to thrive!

If you want to take your learning to the next level, the course conversation is happening daily over in my private membership community for makers – the Thriver Circle.

You can find out more about the oodles of benefits of membership right here.

Jess x

 

#MakingItPodcourse: Money | Lesson 8: What’s Your Money Story?

 

Welcome to Week 2 of the #MakingItPodcourse!

This week is all about money.

We’re kicking off with a lesson on your Money Story. This is the story that you tell yourself about money – is it good, bad? Does it come easy, or is it hard to come by? What’s your relationship with money, and where did you learn it from? Do you and your partner have conflicting or complementary money stories?

Listen in below to figure out this crucial piece of the money puzzle.

 

Want a weekly lesson summary – including a list of all the action steps for that week in a handy downloadable and printable pdf?

 

Just enter your email below…

Listen to Lesson 8:

 

 


 

 

What is the Making It Podcourse?

Over four weeks in July 2018, I’ll be releasing an episode/lesson of this course every day via the Create & Thrive Podcast (30 in total) on the topics of mindset, money, marketing, and business management.

I’ve created this course specifically for makers – those who create handmade goods to sell.

To create this FREE course, I’ve drawn on my 10 years of experience running my own successful handmade business, coupled with over 5 years of teaching other makers about handmade business right here at Create & Thrive.

I wanted to create something that was actionable and practical for all makers, no matter what stage of business you are at, and that would allow you to dig deep into 4 key aspects of the crafty biz journey.

I hope it helps your handmade business to thrive!

If you want to take your learning to the next level, the course conversation is happening daily over in my private membership community for makers – the Thriver Circle.

You can find out more about the oodles of benefits of membership right here.

Jess x

 

[153] The New Etsy Seller Fees – Let’s Compare the Cost…

So – Etsy are putting their fees up for the first time in 13 years. And a lot of people are unhappy about it.

I’ve shared my brief thoughts on this already on social, but I thought it would be helpful to put together an episode outlining my thoughts – as well as some financial comparisons so you can make an informed choice on this change.

I’ve researched and compared the fees of Etsy, Shopify, Amazon Handmade, Bigcartel, Ebay, and your own website (using wordpress and woocommerce) to give you a feel for where Etsy stands in the marketplace after these fee changes. (I’ve shared the maths below for you, as well as some comparisons of old/new fees).

In short: I don’t think this is a big deal. Considering Etsy has NEVER put their fees up in 13 years of business, and the fact that it’s a minor increase hasn’t got me worried, personally. I know that’s different for some folks (especially those who sell inexpensive items or supplies) but I share my detailed thoughts on this in the episode below.

My main point for you to take away from this episode: if your price is so low, or your margin is so tight, that this small fee increase will break your business – you need to review your pricing!

If you have feedback or thoughts to share, please do so over on Instagram (look for my post about this @createandthrive) or on Facebook. And if you find this episode useful, please do share it so other people can listen in, as well. Pin an image from the page, or take a screenshot of this post or your podcast app and share it on your IG story.

 

Love the show? You can show your support by:

  • Leaving a review on the C&T FB page.
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  • Donating a few dollars towards the costs of producing the pod.
  • Joining the Thriver Circle – without the members of the Circle, this podcast would not be possible.

 

 

 

 

Quotes & Highlights from this Episode:

 

1. I am not overly bothered by the fee increase – it’s small, and still very affordable compared to other venues. It will ALWAYS cost money to do business, it’s about finding the best value for money. Etsy brings me customers. Most of my sales there come from Etsy search, so the work they do to advertise the platform and bring shoppers in works for me, and I’m happy to pay for that. Let’s do a comparison…

  • Etsy: 20c listing fee. 5% transaction fee. Plans – Plus starting at $10 (going up to $20) (CORRECTION – I believe I may have referred to the Plus plan as the Standard plan in this episode. Etsy will have Standard (free) Plus (as costed here) and Premium (as yet uncosted) plans.)
  • Amazon Handmade: 12% transaction fee – this may be 15% for some (or min $1 referral fee)? I found details a bit conflicted and hard to come by. $39.99 pm as of Jan 1 2019.
  • Ebay: 50c listing fee. Up to 9.5% transaction fee. $24.95 pm biz seller (This is Australian and in AUD, all others fees here are in USD)
  • Shopify: Basic plan is $29 pm (up to 100 listings). CC and other payment gateways like PayPal range from 1.75% to 2.9% and a 30c transaction fee (free if using Shopify payments with stripe).
  • Bigcartel: Up to 100 products $19.99 pm
  • Own Website: $12 domain OR included with hosting. $8 pm with Dreamhost. Security $200 ($17 pm). Backup $5 pm.

DON’T COMPETE ON PRICE. Be a brand, not a commodity. Competitive doesn’t mean cheapest! (Anecdote about $20 sterling rings).

Further listening on this: Episode 72 – Stop Focusing on Number of Sales and Start Focusing on the Numbers That Really Matter


2. Fees on shipping has made me decide to offer free domestic (and maybe international, still working that out) shipping storewide, and just put the shipping cost into my product price. I always avoided this in the past because Etsy didn’t take a percentage of shipping.

I can do this as my shipping is pretty low already, so it’s been the kick in the pants I needed to make this change. If I’m paying a fee on shipping now, I may as well gain the psychological benefit of shoppers seeing ‘free shipping’. They’re still paying for it, just not in the shipping section.

If you can move your domestic fee into the item price, that then lowers your international fee, too!

 

3. I will be putting my prices up a little to compensate. I am lucky enough to have the margin to be able to do this, but I understand some folks with lower-priced items may find this challenging. Remember though – it’s a percentage, so you may only need to add a small amount to make up for it on the lower priced items.

Some example cost comparisons:

$5 item with $5 shipping

  • 3.5% product only fee: 17c
  • 5% product & shipping fee: 50c

$50 item with $10 shipping

  • 3.5% product only fee: $1.75
  • 5% product & shipping fee: $3

$100 item with $10 shipping

  • 3.5% produce only fee: $3.50
  • 5% product & shipping fee: $5.50

 

4. I don’t yet see any benefit to any of the ‘packages’ for me. I’ve been experimenting with promoted listings, and will keep trying that for a while. So I’m glad they aren’t (yet!) taking away any of those tools. I have – and will always have – my own website, so the .com etc. doesn’t do anything for me. I am curious as to what the premium package will offer, though!

 

5. One concern I heard mentioned: they are making it easier for ‘big brands’ to use the platform, so I hope they don’t go too far in that direction.


6. Overall – if this means Etsy continues to focus back on their core offering (being THE place to shop for handmade, vintage, and supplies online) and grow the platform by doing more advertising, then that will only benefit me and other people in those niches in the long term. They have never put their prices up in 13 years of business, so if it pays off, I do believe we, as sellers, will benefit. But yes, always do remember – they are a for-profit, public company, and they have to always now be thinking of their shareholders and profits, too.

 


 

 

HBT #21 – Keep Your Books

 

Or, listen below:

 

Want help with starting (or sticking to) a simple bookkeeping system?

My bookkeeping basics for small biz workshop is aimed at those who don’t have a solid bookkeeping system in place, or who do a poor job of maintaining their bookkeeping on a regular basis.

I hope to convince you why keeping on top of your books is not only important for tax time, but also for the growth of your business in general!

If you don’t know your numbers – you don’t know what your business is doing… and to be successful, you REALLY need to know what’s happening with your money.

In fact… keeping your books CAN actually be kinda fun and motivating (yes, I said it! 🙊).

In the workshop, I cover:

💸 Income, expenses, & deductibles… oh my!
💸 Why keeping on top of your money matters… and the software I use.
💸 Why you should separate your personal and biz finances.
💸 And, I give you an 8-step checklist to get you started!

I also give you a downloadable spreadsheet that you can totally steal and use for your own bookeeping!

Feedback from peeps who’ve taken the workshop..

“Great workshop Jess, I actually did enjoy it.”

“I’ve just finished watching this and yes it was a great kick up the pants. This may have been written for me. I need this! Thank you for demystifying something that I can safely say I have been avoiding. I would have been just like you in your first year and had a nightmare at tax time. But you’ve saved me! I have downloaded the spreadsheet and will start TODAY. Thanks.”

“This was a great video Jess. I have a major tendency to go spreadsheet crazy and make things more complicated then needed.”

“This is the first workshop I’ve watched Jess and I love your down to earth conversational style. I’ve seen some videos of people and they’re all professional, dressed up to the nines and perfect make up. You are someone who the every day person can relate to and not feel like a fail because we don’t dress up like a supermodel every day! Thank you!”

Access this workshop right now in the Thriver Circle – my private membership community for makers.

Once you join, just head over to the Resource Library, click on Workshops, and you’ll find it right there!

》》》 ThriverCircle.com

Jess x

P.S. Fun fact – membership to the Circle can be added to your ‘tax deduction’ section! 

[136] Why you Need to Stop Feeling Bad about Charging Money for your Craft

 

We’ve all felt it.

That stab of guilt when you put a price on your work.

Even worse – the fear AND guilt when you RAISE the price on your work.

Pricing is an art as much as a science. There are no ‘100% right’ answers.

And the price you choose as a beginner should change once you get more experience and your business starts to grow.

There are so many elements to this process. If you haven’t already, please go do the Pricing with the Head & Heart Workshop for the nitty-gritty (Thriver Circle members only).

This podcast is about mindset. 

It’s about the money stories we carry around. (I delve deeper into this topic in the Money Stories Workshop – Thriver Circle members only).

It’s about how we connect our self-worth to our products… and the price we put on them.

It’s about the fact that you need to start treating yourself like the professional you are, and put aside the guilt about asking for money for your effort and time.

All that said… it’s also about why you don’t have to put your price up if you don’t need to. You choose how you serve your market.

What you DO need to do is STOP feeling guilty about charging money for your work – because money = a little bit of your life, and you deserve to be compensated for that!

I dive into a WHOLE bunch of stuff in this episode.

I hope you find it helpful in the process of pricing what your work is worth!

Jess x

 

>>Become a member of the Thriver Circle and listen to the full episode right now.<<

 

Listen to the Intro:

 

 

 

 


Love the show? You can show your support by:

  • Leaving a review on the C&T FB page.
  • Leaving a review on iTunes.
  • Donating a few dollars towards the costs of producing the pod.
  • Joining the Thriver Circle – without the members of the Circle, this podcast would not be possible.

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