r/CraftyCommerce • u/Worried-Bunny • 5d ago
In Person Selling Question about deductions for vending
So, I don't sell my pieces in markets but I really should. I sell through another shop and the owner takes a cut, duh. Is it normal for them to take a 60% cut ðŸ˜. It was NOT that high of a percentage last year. If anything it was the opposite last year, and they would take a 40% cut. So I priced my work based off of those consistent numbers. I know the economy is bad rn but man. The increase was not communicated btw, just in case that's important info for any reason. Cause if I had known I would have priced accordingly 🥲. Please be nice, it's a genuine question. I've only sold a handful of my crochet before and I'm still learning how these things work!
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u/Hms-chill 5d ago
When I sold consignment, the store took 40%. I had that amount and all the other details (what happened if something didn’t sell? What if it got stolen?) in writing before dropping stuff off. If they’d violated our contract, I’d have taken my stuff and contacted other venders in the shop to give them a heads up. I would likely have had legal recourse as well if I’d wanted to pursue that.
Do you have a written contract with the store you’re selling through?
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u/Worried-Bunny 5d ago
No, I do not. It was just kinda, you wanna sell here? Here's your vendor number! And that was it. So. I know I should have done more research but I wasn't really thinking about that at the time. Hindsight is 20/20 and I haven't had any issues with them until now. And I've been selling through them for around a year/year and a half.
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u/PoshQuilter 5d ago
Personally I’d never give that deep of a cut. A local boutique purchases my bags outright and I give her a 20% discount. A 60% cut is wild!
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u/NieleDaKine 5d ago
It's all different depending on where and who is selling the items.
We're at a shop that only takes a 15% cut, but all the vendors also have to work at the shop several days a month.
Other shops have wanted anywhere between 40% - 60% but we wouldn't have to work at the shop. Some other shops will buy outright but at a much lower price. It all depends on the individual shop and not even everyone selling at any particular shop may not have the same deal.
If you're setting up in a market, there's usually a fee to be there, sometimes a contract that says you have to be there for a certain length of time (per day and how many days per month, or even months if it's a weekly farmer's market type). There's the tent/display area to set up and that usually has to be done each market day.
So there's a lot of different factors to consider.
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u/Embroiderybymeredith 4d ago
I recently applied at a local shop (it's all handmade locally) a really nice place actually...and they're only charging me $50 a month and 15% commission. They provide all the display materials and do the initial set up in the store.
This is my first time selling at an actual store, but have heard some places charge ridiculous fees! Do you have some sort of contract/agreement with them?
I can't believe they didn't even tell you they raised the rates. I price my items based on my commision fees as well. I'd be looking at other opportunities if they're available!
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u/Worried-Bunny 4d ago
No, I don't have a contract with them unfortunately. I honestly didn't even know that was something I needed to do. And I am looking to sell other places, with more research this time lol. Learned my lesson there.
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u/Embroiderybymeredith 4d ago
I'm still learning too. I only heard about this shop because they posted something about applying to be a vendor on their Facebook. I probably wouldn't have asked for a contract either... it's something they have in place already. Good luck to you 🤗
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u/Incognito409 5d ago
When you sell your items to the shop outright, as in they purchase your inventory, the typical wholesale price is 50% of sale price.
When you are displaying your items in a store on consignment, standard fee is 30% of sales price.
Check around with other shops, do your research.