Wholesalers

[ernest porcelli]

i'm interested to hear what others charge to ship works to stores selling your works. right now i charge 5% i'm not sure it's enought with the cost of insurance, packing material etc. thank you for your replys ep

[dee]

i'm interested to hear what others charge to ship works to stores selling your works. right now i charge 5% i'm not sure it's enought with the cost of insurance, packing material etc. thank you for your replys ep

i ship ups and charge what they charge me + $1 or so - since i recycle boxes/bubblepack, etc, i only buy tape and the paper i print the ups labels on, i always insure thru ups so it's part of the actual costs....
D

[Cathy Crain]

I don't know what your price points are so it is difficult to say if you are covered. I would suggest billing your shipping in 2 sections: shipping & handling (you can simply just say "shipping charges" on your invoice if you don't want to break it down).

The insurance should always be billed to the client and added to the actual shipping charge and will vary with the value of your shipment.

TIME STUDIES are a pain in the behind, but once done they will give you valid info to build on.

As for the cost of your time to package and invoice the goods you need to time yourself as to how long it takes you to wrap and box one item, the cost of the wrapping material (tissue,bubble wrap, peanuts etc.)
then all you have to do is multiply that timecost by the number of items shipped per invoice.

Find the cost of an average size box that you use. If you scrounge up used boxes you still have to figure something for your time scrounging.

Time yourself to see how long it takes to make an average invoice.

Now you have the info you need to really know what your costs are.

cost of packaging X number of items
cost of box
cost of time to invoice
TOTAL COST TO SHIP X 2 (remember you may have to hire someone to help and you will have to cover their salary,ins., taxes etc. & make a profit) = WHOLESALE COST OF HANDLING

Add the actual UPS (which carrier you use) cost to insure and ship and that is what you should be billing = TOTAL COST OF SHIPPING & HANDLING. Eventually, you may find that there is a % ratio that you can use across the board.

I know this is probably more input than you want, but I hope it helps.

[Marty]

I charge them just the UPS charges; the rest- boxes, chips, tape, time- go into cost-of-goods along with glass, overhead, time, etc.

[Sara]

I charge them just the UPS charges; the rest- boxes, chips, tape, time- go into cost-of-goods along with glass, overhead, time, etc.

Ernest, I agree with Marty and always include handling and shipping supplies within the cost of my work. I've been told by my customers that they do not like the percentage basis 'cause when at BMAC etc. they like to be able to easily figure the cost of goods, not adding a % after the posted price. Makes sense to me.

Good luck . . . 21 days, yet who's counting?

Sara

[Dennis Brady]

There's no advantage to making it complicated (for you or your customer) and every advantage to adopting a formula that's simple and straightforward.

For almost 20 years I've charged 10% on top of the wholesale price for all inclusive packing and shipping. All my 120 customers are happy with that system because it gives them a definite consistent figure that they can depend on. For most businesses, consistency and dependability is extremely important. Many other artisans I've taught have adopted the same system and produce the same customer satisfaction.

We also do a large number of drop shipments for our retail customers and ship direct to their customers on their behalf. For this we charge a fixed 20% of wholesale price. This allows the retailer to know in advance (and be able to quote to the buyer) exactly what it will cost to have it shipped.

KISS applies to shipping and handling just like everything else.

[Cathy Crain]

I guess our diverse line of products prompted an in depth explanation. It entirely depends on what you are shipping. If I charged $200 (10%) for one of my more expensive jackets, my client would have a heart attack. If it was for a large stained glass window it would be expected. If it was 10% for a $6 tile I would loose money. On small items packing is included in price of goods. On large items which require 2 people, multiple boxes and peanuts everywhere we charge a packing/handling fee. Then bill actual UPS or freight charges under shipping. WE have found wholesale clients are getting very very picky about shipping. Some will not pay shipping on a partial shipment.

cathy

[ernest porcelli]

it seems to me everyone points are important i sometimes pack $1300 into a box that cost me $7:50 plus the insurance etc so if i'm charging 5% it doesn't cover the time to pack or the material,i trying to make $$$ here,the 10% would work for me but it would be a big increase to start with, its now 8% yes 21 days and counting thank you all for your 2cents ep

[Kitty]

i ship everything Priority Mail. the postal service gives me (free) all my boxes, my tape, and the shipping labels. so, that alone is worth some considerable money. their boxes come in many sizes, and i have most of them stocked in my studio. i buy a ream of tissue paper about twice a year.

everything is shipped insured. i dont mark up the shipping, and i guestimate what it will cost. since i send a shipment nearly every day, and have done so for a few years, i've got a pretty good idea what to charge.

if you're shipping large works, i would think you'd have to charge your customer for the expense of the boxes, etc. i have to pay Bullseye for the boxes they use to ship glass to me, and they aren't cheap, either. i save those, and use them to send large plates and bowls, which is a much smaller part of my annual business. i'm primarily in the jewelry business, so shipping is easier -- and things dont break.

[Barbara Cashman]

Since we have UPS and FedEx accounts, I use their posted charge plus $7. This is $5 for the boxing and $2 for the fuel upcharges, boxes, packing materials, etc. that are hidden in the costs of shipping....not to mention TIME. - Barbara