How to price your products for a farmers market
A simple way to set prices that cover your costs, pay you for your time and still feel fair to shoppers.
Updated
1. Add up what one item really costs
- Materials and packaging. Everything that goes into it, down to the bag, label and ribbon.
- Your time. Pick an hourly pay you'd be happy with, and count the hours it takes to make one.
- Your share of market day. Booth fee, gas, card fees and supplies, split across how many you expect to sell that day.
An example (made-up numbers)
A candle: $4 in materials and jar, 20 minutes of work at $18 an hour ($6), and $2 of market costs per candle.
That's $12 just to break even. Add profit for growing your business, and a price around $16 to $18 starts to make sense.
2. Check what others charge
- Look at a few markets. Prices change between markets and through the season. Walk around, and look at shops online.
- Don't race to the bottom. If you can't cover your costs at the going price, find a way to stand out instead: quality, packaging, a better display, or the story of how you make it.
3. Make prices easy
- Round numbers. $10 is easier to pay in cash than $9.75, and makes change simpler.
- Bundles. "2 for $15" can move more and gives people a reason to buy one more.
- Price everything. Lots of shoppers won't ask. Clear signs or tags make it easy to say yes.
What to look out for
Forgetting your time. If you price at materials plus a little, you're working for free.
Sales tax. In Arizona, decide up front how you'll handle TPT. See do I need a TPT license?
Pricing too low to raise later. It's easier to run a sale than to raise a price your regulars know.
Put your prices online
With Booth Barn, shoppers can see your items and prices before market day and hold what they want. Free to start, and we never take a cut of your booth sales.
Start your free shopSources
This guide is general information, not legal or tax advice. Rules change, so check with the office above for your situation.