Apologies for the long ramle i'm about to go on here...
Just working out my costings. For a slimline pen, this is my thought process after analysis of time materials etc, not saying this is what you should do, but it's been successful for me over the last few months.
I usually get my pen kits from penkitsuk. Slimlines there are £7.10 for a pack of 5, so tht works out about £1.52 per kit. Most of my blanks that I've bought come off ebay at an average of about 80p a blank, the little velvety cases work out about 20p each. Then there's wear and tear of tools (sharpening etc) call that 10p per pen, sandpaper and finishing materials, again say 10p a pen. Time. I've set about £10 an hour as a going rate and on a good day can get 4 slimlines done in a hour, so £2.50
That's £5.72 ish, before I add in electricity/rent. As my workshop is in my parents garage and I've had heaters going to stave of hypothermia all winter, they're now charging me rent at £40 a month, say I sell 40 pens a month (nowhere near that many, but I probably make that many when I get the time) that's £1 a pen. That's £6.72 per slimline pen. Now, I could round that up anad sell thm at £8, which if I had no bills to pay and nothing to save for that would be fine.
After asking some acquaintances, friends, colleagues and random passers and by using th "what would I pay for it" rule, I settled on a price of £12 a pen. To me that means almost £6 a pen. That has enabled me to buy the poolewood, so I'm nnow able to produce bowls, and my mini-lathe, so I can increase production. It's also paid for my dust extraction, which is incredibly important!
I've been told by a few people that I'm undercharging. When I ask what they would pay, I get prices ranging from £15 to £20 for slimlines. In some respects I do agree with them that I am undercharging. However, for me this is a hobby, same with the cricket bats I make and definitely undercharge for. I am employed full time and turn evenings and weekends as a way of unwinding and relxing. The fact that i can sell my turnings is great, but it supplements my income. Once I get all the kit I need for the time being, that supplemental will go into savings for holidays for the Mrs and I. If this was my sole means of income, I would charge more, but as I'm not desperate for the money, I don't.
i'm not sure why some people charge a fiver for their pens. I'm sure they have a reason for it. Without context (ie reason) I guess we struggle to understand people's pricing systems and strategies. I think that until we know and understand someone's reasoning, it is easy to be bemused as to their motives behind prices.
