My suggestion: tell the client what happened but since she’s ordering so many, increase the price slowly over the next few orders until you get to where you need to be. She’ll appreciate the honesty and your willingness to work with her!
When you make a mistake like that, just give her an invoice with the intended price and add a first-buy discount to the invoice to end up with the agreed price.
Wow. This is exactly what I went through when I was making sensory tables. I finally had to turn orders away after being bombarded by more orders than I could handle. Great video!
We just did the exact same thing. Got our first order, low balled it and now the customer is ordering every week.We’re having a hard time keeping up. Especially since we work full time jobs. Your advice is spot on!
Thanks for sharing your story, Linda! Yeah it’s a tough hamster wheel to run on... I think after a few orders you can slowly raise the price - especially if the buyer is starting to depend on you!
Hi,, so some businesses will not price items/jobs on the spot. Some businesses have mandatory multi-person price review BEFORE quoting (Car Dealers have sales managers review all deals being made). This helps avoid 1 person forgetting some costly detail(s).
I did this, priced too low and told the one customer my hourly rate! Biggest Mistake I made cause he word of mouthed me and all a sudden I need this and I get the friends hourly rate as he referred me right? I did 2 jobs at break even then closed my shop to outside business for a few months and took no orders. Solid advice. Jennie you may have to have a hard meeting and be up front with the Realitor. Tell her you gave her a 1st time buyers price to gain her business but the price per board is X, if she says it's too much you live and learn and find a new client or negotiate a 5% off orders 10 or more. Its a hard line to draw in the sand but you got this.
We've all been in the same boat. Way under charge for an order. The best solution is to tell the customer when you find out and let them know that you can't charge that amount in the future because you guessed wrong the first time.
Love it. Wonderful video, and congrats on getting such a consistent customer. If you price fairly but still get overwhelmed with orders, macro econ would suggest raising your rates until you get back to a level of orders you can handle. Basic supply and demand. Is this something you've faced or seen anyone successfully do?
I really need to work on getting a stock of inventory as marketing for new customers. I have boards in 2 hotels but I need to work on moving into other spaces.
With lumber priced on the rise. everyone should expect a price increase. It's an explainable variance. We kept our prices down, but our customer's know there is a price increase coming next month.
Yea, would be the „easiest“…but :/ Actually… In Europe are plywood and construction wood so rare an expensive due to the export. Many firms produce only for the US market and the chinese market, because they didn‘t produce that much during the pandemic . Americans and especially chinese are willing to pay 2x -4x the price than we could/are willing to do so. Prices are skyrocketing ever since.🙈😕
Instead of raising prices after a few sales - what about a ONE-TIME New customer discount on orders x or more? This way you make sure to get the customer on the ferris wheel, but you've already established what the normal price is/will-be?
Couldn't you tell her that the price of wood has gone up tremendously in a short period of time. I think she might understand that. Thanks for sharing! Felix.
May I offer two points that I have experienced being in business 35+ years? First, if you're not earning a decent profit, your attitude will suffer... and so will your quality. Second, I am always mindful of 'setting a precedent', no matter what is in question: price, delivery, extras, etc. Once you set a precedent, the client will remember that and it will be harder to change your pattern.
شكرا جزيلا على فيديوهاتكم القيمة بھت بھت شکریھ مہربانی ان مفید فیدیوز کا translation:: thank you a bunch is not enough for the amazing videos and life lessons, I personally learnt a lot about getting started and growing + ton of other things I never knew I wasn't doing or doing it wrong so again arigatoh ...thank you..شكرا...شکریہ
If you have an interest in pricing, please subscribe to my channel. Now let me put Jennie's comments into context. Early on the most important pricing decision is your price positioning. That is the price that conveys the value of your product or service. Think of Ben and Jerry's. It is priced at $5.49 per pint. Think of Bryers, priced at $1.43 per pint. These are prices that position the offering for its market. In a grocery store, notice B&J is always at the front of the store, and Bryers is always at the middle. So is this charcuterie board a B&J or a Bryer's board? This is critical early on because it positions the value of your board in the minds of the customer. From the real estate agent's perspective, she wants to give a gift of high perceived value. This is the B&J level board, so the price should be high. One more point. If you find with your initial price it is too low, change it fast. Early on customers don't know what it is worth. Your price tells them that. Later, with more customers, it becomes harder to change because you have told a lot of people what the board is worth. Again, to learn more please subscribe to my channel.
I would have said those were promotional to expand your net, and at the pricing was basically break even. You can't work for free. If you're making mistakes like this, you probably need to slow down and focus on the processes a bit more.
I didn't think I was going to like this channel as much as I do. I'm particularly interested in the business aspect. I don't currently sell my work (other than material cost) but this has piqued my interest. Also, I'm a retired AH-64D pilot (we're obligated to tell people that.....it's in the -10)
@@jennieanddavis One of your videos came up as a recommendation and I thought it was just making cutting boards and such.....which I do a lot of myself (like many woodworkers). What kept me coming back was that the content was entertaining and that you're both good on camera. It helped that I have both sawdust and JP-8 in common with ya'll.
You may be making less money per board with this customer but it probably works out since she's buying so many. When it comes down to it you still need to market to other customers but you're still better off having large orders and making money with this one customer whose buying a lot than charging more and still seeking out a lot of other false leads. I think it's a happy accident that you accidently under charged her but that she's at least buying a lot and it's still enough for you to make a profit.
Depending on the wood they are using of course $100 is in no way a crazy price for a board. The lumber for a board I made last week was $105. People need to understand the value of handmade work.
Most folks that buy these boards actually know "how & what" they are used for and have the income....you're not selling to scrubs who eat off a paper plate
@@WreckerWarsdotcom I have a large family and giving things got old. I don’t charge them that much. However I’m doing a free desk for my grandson. Its a Murphy.
Sandra you’ve gotta decide if this is a sale or a gift. If your granddaughter wants to support you, she’ll gladly pay $80-$100. Otherwise, you’re giving her a gift and you shouldn’t expect anything.
@@SDMPoahway right on. your blessed with a large family lol i sometimes forget how large families can get. only child with 1 son, his wife and 2 grandkids lol so my giving list is very small. giving stuff away doesnt impact me like having 25 people to make stuff for. Good Luck with the desk. hope he loves it.
i think you guys should have been honest with her on the first time you saw her after the first bach (delivering the last part). Tell her the mistake and hope she'll swallow it is the right thing to do on my opinion. its worse that you have someone going around saying how amazing and LOW price your boards are.
@@jennieanddavis trying to get started gotta use what money I have as start up, and stud stack cost. Do all your stud stack members, get that type of info, even the ones who aren’t members but send in excellent suggestions to you? Just trying to learn how this works
Higher prices phycologically Make people feel that a product is worth it weight in gold. It is easier to give a discount than to face frowning faces if you want to increase price.
Just tell her inflation and cheep money printing by the Fed has caused timber prices to increase by 70 percent in the last 12 months and you still need to make a profit 👍
good video, terrible music. a piece of advice for woodworkers looking to go from hobby to business. the quickest way to turn something you love into something you hate is to make a business out of it.
@@jennieanddavis i see you didnt understand my comment. btw effort does not guarantee success. ill add, having been self employed since the 80s and personal friends with alot of small and large business owners, i cant think of a single one who isnt at least moderately successful and isnt hands on. in any case, it was a good video. looking forward to more of your content.
My suggestion: tell the client what happened but since she’s ordering so many, increase the price slowly over the next few orders until you get to where you need to be. She’ll appreciate the honesty and your willingness to work with her!
Yep!!!
When you make a mistake like that, just give her an invoice with the intended price and add a first-buy discount to the invoice to end up with the agreed price.
Growing pains, as in life, they will pass and there are no losses, only lessons. Keep up the amazing work, onward & upward.
Love the transparency you all work with. Good, bad, and ugly you put it out there! I appreciate your videos!! Cheers
Wow. This is exactly what I went through when I was making sensory tables. I finally had to turn orders away after being bombarded by more orders than I could handle. Great video!
Thanks for your different background music in your videos it’s so much better!
We just did the exact same thing. Got our first order, low balled it and now the customer is ordering every week.We’re having a hard time keeping up. Especially since we work full time jobs. Your advice is spot on!
Thanks for sharing your story, Linda! Yeah it’s a tough hamster wheel to run on... I think after a few orders you can slowly raise the price - especially if the buyer is starting to depend on you!
If you accidentally underprice, just give her an invoice with the intended price and include a discount amount to end up with the agreed price.
Hi,, so some businesses will not price items/jobs on the spot. Some businesses have mandatory multi-person price review BEFORE quoting (Car Dealers have sales managers review all deals being made). This helps avoid 1 person forgetting some costly detail(s).
My suggestion is to give her a bunch of free ones, admit the mistake, reprice, and move on. She may just keep buying from you.
I did this, priced too low and told the one customer my hourly rate! Biggest Mistake I made cause he word of mouthed me and all a sudden I need this and I get the friends hourly rate as he referred me right? I did 2 jobs at break even then closed my shop to outside business for a few months and took no orders. Solid advice. Jennie you may have to have a hard meeting and be up front with the Realitor. Tell her you gave her a 1st time buyers price to gain her business but the price per board is X, if she says it's too much you live and learn and find a new client or negotiate a 5% off orders 10 or more. Its a hard line to draw in the sand but you got this.
This is a great visual for the sales cycle! Perfect timing for me to see this video!
I’m doing good woodwork I’m highly excited about it .. in woodwork there’s no failure always a gain .. .. u always improving..
I so appreciate your video. Thank. You for sharing.
I find it easy to increase prices especially the second go around. Supply and demand. Increase in material cost, end of promotional deals, etc.
We've all been in the same boat. Way under charge for an order. The best solution is to tell the customer when you find out and let them know that you can't charge that amount in the future because you guessed wrong the first time.
Love it. Wonderful video, and congrats on getting such a consistent customer. If you price fairly but still get overwhelmed with orders, macro econ would suggest raising your rates until you get back to a level of orders you can handle. Basic supply and demand. Is this something you've faced or seen anyone successfully do?
Love following your journey, thank you for sharing and your wonderful tips!
I really need to work on getting a stock of inventory as marketing for new customers. I have boards in 2 hotels but I need to work on moving into other spaces.
u cute bro
"too slow" lets dunk em in water. Dunking wood into water is probably one of the hardest thing for a woodworker to do. haha
Can’t be romantic about the hobby when you’re trying to make money! Lol
Enjoy the sellers market while it lasts
Wow great advise thanks so much keep up the great work
With lumber priced on the rise. everyone should expect a price increase. It's an explainable variance. We kept our prices down, but our customer's know there is a price increase coming next month.
Best video so far. Good job.
Definitely was there in my last business. We grew so quickly and priced wrong to start that it made it very very hard to raise the prices.
You could raise your prices and blame the increase on the massive hike in lumber costs. that is a known issue.
Yea, would be the „easiest“…but :/
Actually… In Europe are plywood and construction wood so rare an expensive due to the export. Many firms produce only for the US market and the chinese market, because they didn‘t produce that much during the pandemic . Americans and especially chinese are willing to pay 2x -4x the price than we could/are willing to do so. Prices are skyrocketing ever since.🙈😕
Ah yes, but then we’re outright lying. Might be a great tactic for some. but not us.
@@jennieanddavis …then take the product from the market and sell it as a set of two (with different sizes or types…) . Would be much easier.
Instead of raising prices after a few sales - what about a ONE-TIME New customer discount on orders x or more? This way you make sure to get the customer on the ferris wheel, but you've already established what the normal price is/will-be?
Couldn't you tell her that the price of wood has gone up tremendously in a short period of time. I think she might understand that.
Thanks for sharing! Felix.
May I offer two points that I have experienced being in business 35+ years? First, if you're not earning a decent profit, your attitude will suffer... and so will your quality. Second, I am always mindful of 'setting a precedent', no matter what is in question: price, delivery, extras, etc. Once you set a precedent, the client will remember that and it will be harder to change your pattern.
شكرا جزيلا على فيديوهاتكم القيمة
بھت بھت شکریھ مہربانی ان مفید فیدیوز کا
translation:: thank you a bunch is not enough for the amazing videos and life lessons, I personally learnt a lot about getting started and growing + ton of other things I never knew I wasn't doing or doing it wrong
so again
arigatoh ...thank you..شكرا...شکریہ
great info and advice. Thank you for sharing.
Great video. The hug of death Is killing me right now. Lol
If you have an interest in pricing, please subscribe to my channel. Now let me put Jennie's comments into context. Early on the most important pricing decision is your price positioning. That is the price that conveys the value of your product or service. Think of Ben and Jerry's. It is priced at $5.49 per pint. Think of Bryers, priced at $1.43 per pint. These are prices that position the offering for its market. In a grocery store, notice B&J is always at the front of the store, and Bryers is always at the middle. So is this charcuterie board a B&J or a Bryer's board? This is critical early on because it positions the value of your board in the minds of the customer. From the real estate agent's perspective, she wants to give a gift of high perceived value. This is the B&J level board, so the price should be high. One more point. If you find with your initial price it is too low, change it fast. Early on customers don't know what it is worth. Your price tells them that. Later, with more customers, it becomes harder to change because you have told a lot of people what the board is worth. Again, to learn more please subscribe to my channel.
I would have said those were promotional to expand your net, and at the pricing was basically break even. You can't work for free. If you're making mistakes like this, you probably need to slow down and focus on the processes a bit more.
Sound advice. Thanks!☺️
Good video!
And then there's Ferris Bueller...
Appreciate the solid advice🙏
That's awesome, what are the dimensions of these charcuterie boards? I see there 1inch thick. Do you half to worry about warping?
Hug of death not withstanding, you could always look at the charcuterie boards as a loss leader you can upsell from.
So what is the solution for the realtor? Slowly raise over time or a hard honest conversation?
I didn't think I was going to like this channel as much as I do. I'm particularly interested in the business aspect. I don't currently sell my work (other than material cost) but this has piqued my interest. Also, I'm a retired AH-64D pilot (we're obligated to tell people that.....it's in the -10)
Lol nice.
Curious as to why you weren’t expecting to like our channel - no judgment! Just interested.
@@jennieanddavis One of your videos came up as a recommendation and I thought it was just making cutting boards and such.....which I do a lot of myself (like many woodworkers). What kept me coming back was that the content was entertaining and that you're both good on camera. It helped that I have both sawdust and JP-8 in common with ya'll.
You may be making less money per board with this customer but it probably works out since she's buying so many. When it comes down to it you still need to market to other customers but you're still better off having large orders and making money with this one customer whose buying a lot than charging more and still seeking out a lot of other false leads. I think it's a happy accident that you accidently under charged her but that she's at least buying a lot and it's still enough for you to make a profit.
wait? you can sell those boards for 100? i can get one similar delivered for $10 in the UK?!
And you can buy shoes at the grocery store, but I bet you buy Nike’s anyway 😉
What wood do you use for your boards? They look great.
Did you do a previous video on what they’re made from and I maybe missed it?
What species of wood do you make them from?
I'm currently getting suffocated by the hug of death...it sucks
Raise your pricessssssss ❤️
So you are selling these serving boards for about $100 each. That in itself is crazy
Crazier than $600 sneakers or $10,000 computers? It’s all about perspective. Some people think it’s worth much more than $100
Depending on the wood they are using of course $100 is in no way a crazy price for a board. The lumber for a board I made last week was $105. People need to understand the value of handmade work.
Most folks that buy these boards actually know "how & what" they are used for and have the income....you're not selling to scrubs who eat off a paper plate
@@kennycybertron1just wow.
This is wild
That how you learn
I’m about to try one for my Grandaughter. I’m not sure what to charge her. It’s walnut.
its your granddaughter. nothing, every time ive built something for a friend or family member, ive gotten sales from their friends wanting to keep up.
@@WreckerWarsdotcom I have a large family and giving things got old. I don’t charge them that much. However I’m doing a free desk for my grandson. Its a Murphy.
Sandra you’ve gotta decide if this is a sale or a gift.
If your granddaughter wants to support you, she’ll gladly pay $80-$100. Otherwise, you’re giving her a gift and you shouldn’t expect anything.
@@jennieanddavis you’re right. It’s a sale as she ordered one. She makes fancy dishes all the time. Thank you.
@@SDMPoahway right on. your blessed with a large family lol i sometimes forget how large families can get. only child with 1 son, his wife and 2 grandkids lol so my giving list is very small. giving stuff away doesnt impact me like having 25 people to make stuff for. Good Luck with the desk. hope he loves it.
I just need to come up with a "formula"for pricing.
What to charge hourly, and or flat out rate for products.
Watch more of our videos! Labor at $30/hr plus materials, multiplied by 1.5
@@jennieanddavis can you link that video in this comment stream? I think I may have watched that one, but can’t remember. Please and thank you!!
@@mrmyblessednest1722 I believe that video is on their "home page" here on RUclips.
@@ericwilliams538 thanks! I’ll look there
I'd just tell her that, due to lumber prices, after the current order is completed the price will increase to X amount.
So, what are you going to do now???
Sell sell sell
What are y'all dunking in? Love your spirit fyi!
Thanks for the
Speaking reeling in..... Lol. hook and intro
i think you guys should have been honest with her on the first time you saw her after the first bach (delivering the last part). Tell her the mistake and hope she'll swallow it is the right thing to do on my opinion. its worse that you have someone going around saying how amazing and LOW price your boards are.
we should be careful the way we spend money, if you are not spending to get profits at the end, your gradually moving into poverty.
So tell us the numbers you messed up on. How much per board?
Join the Stud Stack
@@jennieanddavis trying to get started gotta use what money I have as start up, and stud stack cost. Do all your stud stack members, get that type of info, even the ones who aren’t members but send in excellent suggestions to you? Just trying to learn how this works
Higher prices phycologically Make people feel that a product is worth it weight in gold. It is easier to give a discount than to face frowning faces if you want to increase price.
The costly lessons teach you the most.
Make a better and more elegant board -- new pricing.
What’s the realtor’s name? I’ll email her a link to this vid 😉
heyo
Seems like this advice can also be extrapolated for podcasting
A pay Facebook group....there's plenty of them out there that have the same or better content.
Yes but weeding out the good info from the bad is why you pay... no armchair quarterbacks spouting bad advice in our group!
Just tell her inflation and cheep money printing by the Fed has caused timber prices to increase by 70 percent in the last 12 months and you still need to make a profit 👍
good video, terrible music. a piece of advice for woodworkers looking to go from hobby to business. the quickest way to turn something you love into something you hate is to make a business out of it.
That only happens if you don’t put effort into the business side of things and expect the business to run itself
@@jennieanddavis i see you didnt understand my comment. btw effort does not guarantee success. ill add, having been self employed since the 80s and personal friends with alot of small and large business owners, i cant think of a single one who isnt at least moderately successful and isnt hands on. in any case, it was a good video. looking forward to more of your content.