Making costing lingerie easy - new design sheet available
One of the common questions I get asked is how to cost your lingerie. Maybe you have made a sample and need to know how much it costs to produce, before you go any further. Or need costs to approach shops to stock your lingerie, or simply need to know roughly whether an idea is affordable to go any further.
There is a PDF cost sheet in the design sheets, but like the spec sheets I thought I’d make one available that has all the formulas to work out everything for you.
What is base point pricing?
Now before we go any further I need to state that this cost sheet is a “base point price cost sheet” what does that mean? It means it’s only taking into consideration the actual costs it takes to produce your lingerie, like materials and manufacturing. You need to know the bottom line cost of how much something costs so you don’t lose money. It doesn’t cover costs like overheads or your time, though there is space to add these in.
It’s also not taking into consideration of competitive pricing (what others are selling their lingerie for) or customer based pricing (what the demand is from the customer or how much they value the product). All these different pricing strategies are covered on the lingeri-e-course. This cost sheet just covers what it takes to make your lingerie garment.
So there are three ways this Excel sheet provides you with your cost, the first one adds a wholesale price at a percentage and then a selling point on top of that. This is great if you want to see how much mark up you are making.
The second way shows you in money terms, so if you need to make the minimum of £7 per item at wholesale then it shows you want the selling point would be. All these figures can be changed in the spread sheet. The advantage with this is it lets you play around with numbers, showing you instantly what you would sell something at if you were to alter the profit higher or lower.
The third way shows you the selling point if you were to sell direct to customers, so the selling point is set at a higher percentage than the wholesale. This exercise can show you straight off if you can afford to do wholesale or what you need to alter in your figures to be able to do it.
Also on the cost sheet it works out how much fabric or trims you would need if you wanted to produce 10, 20, or 100 pieces, which is invaluable if you need to quickly place an order, and have all your costs and fabric ordering in one place.
Everything has been done to A4 size so is ready to printed out if you need to store it in a folder etc.
Getting organised in the costing area, will save time, save money and get you to starting your own brand that but quicker.
If you wish to check out the costing sheet click below.
