{image from the awesome Cardboard Safari – they have a unicorn!}
Thank you everyone for your comments to the last post I wrote! Your comments – and especially this comment by Jess – really got me thinking on the ways we sell our creations:
“Something that I do across a few venues is upload a core product range. So, on Etsy, Madeit and my own site, I make sure to have my entire range available, but on other venues, I just spend the time to upload my core range – that I’m pretty confident won’t change – and use that as a way to showcase my wares in as many places as I can. It’s a little way of having the best of both worlds – of course, you have to find the time to even upload that smaller range, which can be challenging!”
There are so many different “business models” – so how do you know which one is for you?
I cannot say that I’ve gotten it right myself yet – but I can say that this year, after applying certain changes to the way I sell my creations, I am much more comfortable with my model.
Let’s take a look at a few of the different models that are possible for your crafty biz.
Markets based business
Selling mainly at the markets (with the stock left over offered on Facebook or at an online shop).
I like this model and if you are set up for it with a car that fits all you containers and stall decorations and you don’t mind working weekends then it’s a great model for you. At a good market, you sell well and walk away with money on hand.
You can budget you stall costs for a year with no listing fees and fixed amount of sales. However, preparing for a market can be stressful (even when you’ve done it a few times). Cancellations due to weather will leave you with stock and, unless you do markets every week, less money coming in that month. I would say nowadays, an online shop is a must for a stall holder so customers can shop after the market too.
Selling made to order items online
You have your range of products, like cushions or jewellery, for example, and you list the samples and then print/sew/make them to order.
This model minimizes the storage space but requires you to work to a deadline so you get the order posted fast enough to insure higher turnover and to keep your customers happy.
Facebook based business
You don’t have time to set up and update a shop, maybe you work full-time…so you create in the evenings and weekends and release items in batches once a month or so.
I know businesses that prefer to work on – let’s say – 20 items for a month and then release them in bulk on so called “Market Nights”. Works great once you have large-ish Facebook audience.
Selling only ready to post items online with occasional custom orders
If you don’t like stress of a deadline and a huge list of orders then welcome to my world!
I did have to take more space for storage but I like that I have plenty of stock and I just post it when I sell an item. As I make toys, I sometimes have to make them to order when they need to be personalised or made into bride & groom like the order I am working on now.
Having a stocked up shop, gives me an opportunity to relax a little more and advertise my business without the fear of being swamped and when I end up with a few orders, the shop is stocked so there is no “I need to make a few items for the shop even if it kills me” thought in my head. In order to achieve this, I have to accept orders only a few times a year and regulate it strictly.
Selling wholesale to the shops and building up as many stockiest as you can handle
It’s a good model for artists who can make a bunch of items at once like fabric printing or kits making.
You make items for a week or so, package them and send them off to the shops. This model is great if you like to know approximately the prospective earnings and you can just drive/post your stock to the shops and maybe have an online presence just for showing your range to the prospective shops.
I personally love this model but it won’t work for my creations (I tried).
Complex business model
Mix and match applies not only to clothes!
You can create you own business model by combing all or a few of those listed above. I know a very successful business that does all of the above: markets, Facebook sales, website with stock and offers made-to-order. However, I think, it’s a job for more then one person or a very organised and dedicated crafter!
Each of those models are very personal to the business owner as there is a long road before you find the right one for you and what you make.
Based on my experience, it took me good few years to identify what works the best for the time I have available and my creative process. Time is the obvious factor to consider but, I was surprised to come to the conclusion that the way I create is determining my business model.
I am impulsive, not very patient and hate being under pressure as a designer! If I have a new idea, I have to do it straight away!
I used to do made-to-order all the time for 2 years and it really put me under pressure.
I wished I could have more control over my creativity, but trying to make new things in between the orders, which I stayed up late to do in time, wasn’t fun.
I started wondering – “why I am doing this and what for?”
I identified that what I love is designing and creating, losing myself in that feeling when you have a new idea and you go with it.
It’s a lovely feeling, isn’t it?
Well, before I cut down wholesale orders, customer orders (to a manageable amount), and markets, I didn’t feel comfortable with my chosen business model. However, that’s just me 🙂
That’s how I came to my business model – sell only what I have in stock – so it’s make-list-sell-post model.
My friend asked me a good question when I shared my decision with her – “Won’t it result in less money”?
That’s a very good question as it did cut my earnings at the start – but I believe in thinking long-term now.
A very important argument that I made – when trying to justify the decision to cut down on wholesale and customer orders – was that I couldn’t even promote my business before.
At the moment, the way I’m working is a great model for me.
With time it might not be and, hopefully, I’ll move on the the mixed business model. Who knows! Owning your own business means you can adjust the model to suit your needs and it’s awesome!
So, why has the comment that Jess made triggered this rambling?
Because I love the way she has her “core product” listed in the shops and think if you do the made-to order then it’s such an awesome way of doing it!
I am going to think how I can apply this to my business model.
In conclusion: identifying your business model is vital for you Indie business.
The model that makes you feel comfortable, as stressed out maker is an ingredient that will spoil the recipe. If you feel stressed, unsatisfied and unhappy, re-evaluate and reconsider the way your business is run.
You might have a great product – but maybe the way you sell it is bringing you down?
I would love to hear all about your business model! Which one of those mentioned is yours or do you do it differently?
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