Wednesday 2 December 2020

Consignment Rates


The most common comments about the rates for consignment of pieces to a gallery or gift shop are that they are not fair. They are too high. The gallery is greedy. And so on. How do you judge whether the commission rates are fair?  What are the factors that should be considered?




Time
How much is your time worth?  

Think about the amount of time used to prepare, promote and attend craft fairs, pop up shops, or prepare for and administer online selling. Could you be using that time to make more things, or be with your family?  How much would it improve your quality of life to have to do less selling?



Costs

What are the costs of attending craft fairs?  

    You have to acquire display materials, whether you make or buy them.  You must travel to the event.  You have to be prepared to accept breakage risks from repeated movement of the pieces.  You must pay for the space at the craft fair.



Customer base
Is the shop’s market different than yours at craft fairs or online marketplaces?  
    Shops have a different clientele than craft fairs or online shops.  They spend effort in attracting customers.  They know their clientele and what kind of things will sell to them.  They are aware of the pricing levels needed for their visitors.

Decision
Answering these questions about time, costs and customer base will give you an assessment of whether consignment commission rates being offered are fair. 

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