# Pricing yarn for sale



## IowaLez (Mar 6, 2006)

I know some of you here must sell yarn at times. How do you price it? For that cornflower blue yarn I just finished (oh sadness at finishing that lovely stuff) I figured out that I spent $18.20 on raw materials for 13.5 finished ounces of it. 

I don't know what to pay myself for the labor I put into it, so forgetting that for now, do I triple my cost or what, to arrive at an end price? Is there some standard people go by?

I am going to take my yarns to two fancy Burbank (L.A.) yarn stores to see if I can entice them into carrying my wares, when we go down there. I'm putting together a presentation with samples. The one store I'm most hopeful about has some really exotic yarns for sale.

I am searching for wholesale suppliers for my fiber components already, to see what I can find. Gotta keep my costs down. I don't want to pay retail for stuff to sell. If you know of any good suppliers, please let me know about them.


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## MullersLaneFarm (Jul 23, 2004)

I usually sell at .10 - .15 cents a yard or 3 times of what I paid for roving per oz unless I carded some more, then it can go from $10-$15 oz


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## Liese (Dec 12, 2005)

A yarn shop about 45 min. away wants some handspun yarns - I took in samples and she asked that I first do some sock yarns - approx. 4oz skeins, 400 yds and she felt $3/oz wholesale was a little high but she'd try it. So I come home and dyed some Dorset, carded, spun & plied - I didn't keep strict times but let's say 1 hr for dyeing (underestimate), 3 hrs drum carding 8 oz (pretty close), 4 hrs spinning 4 bobbins (1 hr each Ashford bobbin is my best speed lately), 2 hrs plying = 10 hrs to make 2 skeins or $2.40/hr but nothing to cover the cost of the dorset. This is nuts! I'd sure like to know how my times compare to others, how I can speed up my work and if it's not possible to really do much better time-wise the price is going to have to be significantly higher.

Cyndi, I take it those prices you gave are retail?


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## MullersLaneFarm (Jul 23, 2004)

IMHO $3/oz is fine for scouring/dyeing/carding/pulling into roving for sale. Once you add spinning, the price goes up.

Yup, that's retail pricing for me (but I wouldn't go any lower if someone wanted wholesale).


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## flannelberry (Jul 14, 2005)

I have a friend who is doing ok selling the stuff he's spinning but - it's a labour of love. He doesn't spin when he *should* be doing other things - he spins for his down time and so doesn't feel like he has to include his time. And he owns his own sheep.

His is still expensive but it's lovely yarn. I think - for myself anyway - that's the only way I can see making any money and feeling good about it. If I'm watching a movie (when I get my spinning wheel - I'm not good enough with the drop spindle for that to count) etc. I can just spin and enjoy that time.

I'm not sure any of will actually make what the yarn is worth fully but we can hope!


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## IowaLez (Mar 6, 2006)

I asked a yarn store owner on Ravelry from Maine, what the going rate for wholesale handspun yarn is and she said she pays $7.50 an ounce for regular wool based yarns, and $8.50 an ounce for BFL based yarns, and she doesn't know about other fancy fibers like cashmere and stuff.

This sounds more reasonable, especially since I'm using fancy fibers.. 

I'm going to find more store owners and ask them, too.


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## Marchwind (May 10, 2002)

Liese I think the wholesale is going to be what kills you. Unless you are having the fiber processed and maybe spun then you hand dye it you are never going to be able to make much $$ in wholesale. You have to cut out that middleman.


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## thatcompchick (Dec 29, 2004)

In arts and crafts world, when my mom was doing needlepoint work, etc for companies - it was twice whatever 'the kit' cost. We are keeping this in mind when making yarns, etc. I figure in my work time per oz, then add materials cost (sometimes this is mostly my time plus what i would charge raw for my fiber) - then she doubles it for her product. Needless to say I'm not making more than $4/hour lol.

Guess you could apply this to your yarn - cost of materials (say you pay $10/pound of fleece) doubled - so a pound of yarn would be $20 retail. But that would make for a weird value on more expensive raw materials for probably the same amount of time. Also, don't forget to use your TRUE price for the raw materials (if you paid shipping, dyed it etc, add this)

I have no idea how my yarn will sell at market, just basically what's sold already through shop and custom orders. My roving has gone from $8-10/ounce at the retail store, but it's a niche fiber/marketing thing - i don't think she could sell, say black cormo from a farm in NH for the same price she can get for black welsh from 15 miles away. I certainly am not charging $20/oz for my yarn.

Whatever you do, don't undershoot. You can always put on sale or discount, once you establish a cheap market, hard to up your price!

Andrea
www.arare-breed.net
www.faintinggoat.net


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## MullersLaneFarm (Jul 23, 2004)

> I certainly am not charging $20/oz for my yarn.


Maybe you should, reanalyze what you wrote:




> In arts and crafts world, when my mom was doing needlepoint work, etc for companies - it was *twice whatever 'the kit' *cost.





> My *roving has gone from $8-10/ounce *at the retail store,


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## thatcompchick (Dec 29, 2004)

right, what i'm saying is i can't/won't charge the 2x 'materials' cost based on the retail store pricing.

Andrea


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## Liese (Dec 12, 2005)

Marchwind said:


> Liese I think the wholesale is going to be what kills you. Unless you are having the fiber processed and maybe spun then you hand dye it you are never going to be able to make much $$ in wholesale. You have to cut out that middleman.


Absolutely agree that selling to a yarn shop is not the way to maximize my profits on a per skein basis but if she can sell 2x as many skeins as I can at the Farmer's Market then I might at least be even. Well, I'll talk to her about how much time these skeins are taking and see if she is willing to take them on at a higher price/oz. Consignment might be the way to go to test the waters. 

Lezlie, $7.50/oz means that a 4 oz ish skein is coming in at $30 wholesale, is she retailing the skeins at $50-60? Looking at people's Etsy sites I see hand spun yarns at $40 quite often but of course have no idea if they're selling at that price point.


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## Liese (Dec 12, 2005)

Andrea, figuring what yarn should cost based on materials probably doesn't work well for hand spun from what I can compute. Let's say that I normally sell fleece at $8/lb - that's .50/oz so the 4oz skein "costs" me $2, a drop in the bucket compared to the labour. The problem in pricing, as I see it, is finding the balance between what is that skein worth in the eyes of the knitter and a living wage for me. Now we know we aren't going to get $10/hr for our labours but $2.50 is just about third world slavery.

It is interesting as Cyndi is pointing out that your rovings to handspinners at $8/oz retail makes that 4 oz hypothetical skein $32. I think that's what Cyndi is saying but maybe not. :stars:


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## thatcompchick (Dec 29, 2004)

correct, and that's what i'm trying to say - the 2x doesn't work for higher priced purchased roving, etc - if you have to purchase the materials retail.

But - say, the same roving, I've charged $4/oz wholesale for - that's paying me a wage for the time to create the roving (30 min washing/picking and an hour carding per pound). So if I 'wholesale' the roving to myself at $2/oz - and spin it up, paying myself again, $4/hour for this example for this 4 oz single strand skein - I've spent $8/oz material, plus $4 labor - therefore I'd price that skein at probably $12.

Hope that makes better sense.


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## Marchwind (May 10, 2002)

I just donated some yard to a fund raiser (silent auction) for a friend. I donated 4 skeins of hand spun, hand dyed (the blue kool-aid dyed stuff I did awhile back. They are as one package. They wanted them labeled as to the value, I put $60, starting bid, I put $20. This is just about 8oz. of wool fiber (I can't remember what breed of wool). Then there was another skein, 4oz. of dyed and hand spun, I didn't dye it but it was hand dyed. I put a value of $30 on that one and starting bid at $10.

The Fund Raiser is on the 8th so we will see if they sell. Wouldn't it be nice if they did?! I suppose if I were to sell them I would sell them for the prices I put as their value. I have no idea how much time I spent with them but I know I did them while I was doing lots of other things and I had fun doing it. Those seemed like fair prices to me.


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## Katherine in KY (May 11, 2002)

The generally recognized formula for pricing craft items is cost of materials + wage to yourself (time X hourly wage) + overhead (cost of equipment, etc.) + profit if you want to realize any. Using that formula I doubt that anyone will be making a profit from handspun yarn, but maybe from roving or batts. I think you have to decide that you'll do it for the love of the activity, and when it's no longer enjoyable then stop selling. Unfortunately the downturn in the economy may well affect what all of us sell unless you can find rich customers who don't notice the high price of gas, food, etc.


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## Flwrbrd (Jan 14, 2007)

I've been selling my yarns at a couple of local stores. But, I put them in there on commission. I figure if folks are worried about the price I place on my handspun, they won't buy it, and go to walmart. Folks who know and understand about handspun won't quibble over the cost. I will not wholesale. I'm not out to make a huge profit, but a little renumeration for my supplies and time is appreciated. 
So, I set my price, and the stores add their charges onto that! If they sell, fine...if not, that's ok too!
BTW, I charge a flat rate of $10 an ounce for my alpaca yarns. I can't spin it fast enough. Other rates are based on materials used. If I'm spinning up mill end rovings....they're considerably less.
I've just recently placed an application for our local 'farmers market'. It's a juried affair, so I won't know until August, whether I get in or not. Keep yer fingers crossed for me! I think sitting there at the market, spinning away, will help a lot with 'marketing' as it were! If I don't sell, then I'll have had a marvelous morning of spinning, so it's all good!


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## Liese (Dec 12, 2005)

Too bad there isn't an icon that shows me banging away at my *own* head! I am such an idiot sometimes - that skein that took me 10 hours to do? I put it out on the table without a price tag - little voice says "don't do that, you always undercut yourself" sure enough a lady picks it up, caresses it, asks the price and I told her $25 which is what I would have *wholesaled* it for. Why did I do this ? Because I can't say aloud what it's worth....argh! This happened several hours ago and I'm still so steamed with myself but from now on nothing, nothing goes on that table without a tag since I can't help myself. I cannot blame anyone for holding me back ... I do a fine job all on my own! So please everyone, please learn from this and if you have the same problem price your stuff out at home and let the label/tag do the talking.


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## Marchwind (May 10, 2002)

Oh bummer Liese, here I'll bash you for you :bash: Does that make you feel any better? Maybe you can have Bob price the things for you if you even have a hard time putting the tags on them. I always undersell myself too but I always remember how much I enjoyed myself while making something someone else is enjoying and then it's okay.


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## Liese (Dec 12, 2005)

Thank you Susan I feel better for your bashing, lol. I'm going to follow your advice and have Bob do the pricing - it's the only safe thing


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## MullersLaneFarm (Jul 23, 2004)

Flwrbrd said:


> I've just recently placed an application for our local 'farmers market'. It's a juried affair, so I won't know until August, whether I get in or not. Keep yer fingers crossed for me! I think sitting there at the market, spinning away, will help a lot with 'marketing' as it were! If I don't sell, then I'll have had a marvelous morning of spinning, so it's all good!



Good Luck with that! I figure my Saturday mornings at FM is my dedicated spinning time! Bonus is I get to teach a lot of kids about spinning and spindling.


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## Flwrbrd (Jan 14, 2007)

"Bonus is I get to teach a lot of kids about spinning and spindling"

My thoughts too Muller.....:happy:


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## flannelberry (Jul 14, 2005)

I was thinking about this thread last night when I was talking to another shepherd in my area. We've had problems lately when new shepherd by from another woman north of us (about four hours from me) because she grossly under prices her lambs. I didn't ever buy from her - I wasn't comfortable with something about her but now that I have more experience I see what got me. 

She doesn't have a breeding programme to speak of. She can give you all kinds of answers about breeding for conformation etc. when you're talking to her but they're not quite right and it falls apart when you ask about the breeding programme and know what you're talking about. She'll name drop lines (lines that I now know are too closely related to formulate a good breeding programme), etc. But she doesn't keep good records of her off spring on site or where they've gone etc. so when you say "I've got a such and such daughter" she'll say "oh, perfect. None of mine are related. How many do you want?" When in fact they are related.

The point of this long rambling post - and why it actually does relate to this thread <g> is that it can be hard to set a price and stick to that price when it's the right price. A couple of times I have been willing to consider dropping my lamb prices when people say "but yours cost double hers". And then I stop and think - 'they're worth double hers and I'll keep them if they don't sell' because you don't want to put too many artificial prices in the market. The trouble is, when you get too many people who don't mind doing that, it can be hard to stick to your prices. 

Ramble over.


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## thatcompchick (Dec 29, 2004)

Ohhh I can sooo agree with your ramble. I keep my prices what they are, and honestly, if they don't sell, they go off to freezer camp. This applies to both my goats and sheep, if I am going to sell them for less than what I can get per pound for meat, there's something definitely wrong...

Another thing I'm noticing here - wholesale vs retail pricing.... only way your wholesale pricing should be lower is they are buying in bulk - or you have no other outlet. Retail shops in general markup 2.5 to 2.75 for pricing. Craft world for 'artisan' items differ. 

Andrea
www.arare-breed.net
www.faintinggoat.net


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