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Price Guideline II

jkoyas

Grumbler
To clarify my previous post:

Do any of you know of a general pricing guideline to help me determine the price of custom framing orders. I know all situations are not the same, but a general guide would help me to formulate my own guideline that is unique to my situation.

My frame shop is located in New Jersey and is in a moderately affluent area.

Thank you in advance for your help.
 
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jframe

<span style="color: red"><b><i>Charter Member</i><
You could buy Vivian Kistler's book "Articles of Business" and follow the formulas in the pricing chapter. If math isn't your best subject, get an accountant who can do this for your. They should be able to do such things as ratios, profit margins, break even points, profit and loss statements, all kinds of percentages concerning your business, and give you this info at least monthly. If your current accountant doesn't or won't do this, dump him. You can get prices from all the competitors you want to, but if their charges are all lower than what you need to be charging (consult your accountant) then all the shopping around was useless. If it turns out that you have to price too high for your area, you need to move the store to a more affluent area. Take all the PPFA educational classes you can, go where you have to in order to take the Rob Markoff & Jay Goltz class it is worth it.
 

Bob Carter

SPFG, Supreme Picture Framing God
In a single statement, charge as much as you can. And the only way you will know that is to do your marketing (comparison shopping).The fact that your breakeven indicates you can make a living selling a mat for $12, but your shopping indicates the market will bear $14, then the answer becomes obvious. Don't think there is any quick fix method for pricing. Its a dynamic challenge, changing constantly. Learn to the necessaries to understand the complexeties of this task. If you want to maximize your revenue and profits, maximize your efforts to understand what you're doing. For Rob and Jay's classes, they are perfect for the trade. But they are designed for novices and a wonderful first step. As for Kistler's book, you can do better by staying with Rob and Jay.
 
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