Price increase?

Mary Sparrow · 03-04-2003, 10:29 AM

I am wondering how people handle price increases.
How often do you do it and by how much?

I know I could get more than I do and did not raise prices for five years. In the last two years, I have increased by 5%. Is that enough, too much?

Thanks in advance for your input.

Michele Rushworth · 03-04-2003, 11:12 AM

Mary, the answer is "it depends". When and how much to raise your prices depends on where your prices are compared to work of a similar quality, in the areas you sell in.

It also depends on how much of a backlog you typically have. I've heard artists say they raise their prices when they have a year's backlog.

I know of artists who raise their prices 15% every six months on a regular basis, and still have enough commissions. I started out with my prices VERY low to get some work out there hanging in homes, and doubled them within a year. I'll be raising my prices again soon, probably by 25% because they're still too low.

Many clients feel work is only as good as the size of its price tag. I have heard of artists losing commissions because the client felt the price was too low. What we create is a status symbol. People wouldn't want a new Mercedes Benz if one could be had for $5,000.

Michael Georges · 03-11-2003, 10:11 AM

I do agree with Michele about the "if it's expensive, then it must be worth having" syndrome in people.

However, your prices definately need to reflect the area where you live and your experience in the market. I have found in the Colorado market, for example, that a lower cost alternative (charcoal portraits) brings in middle income people and really helps me supplement my income.

I just raised my prices which are still quite low when compared to national standards, but that is what the Denver market will currently bear. I did not, however, raise the prices on my charcoals overall - I still want that lower cost entree' into my work.

Patt Legg · 03-13-2003, 10:04 AM

Michele, Michael, and Mary

I read your comments and I have the problem of my area being very rural and many, many watercolorists. I am one of maybe 4 oil painters that I know of and I am practically the only artist who does commissioned portraits. The watercolorists are primarily local Sunday painters with one or two exceptions and their prices range from $100 to maybe $400.

My oils range from $550 to $3400, the latter being portraits, but I also many still lifes etc. On the other hand, a gentleman in the nearby 5-star nationally-known resort - he is another story, he is 15 minutes from my place and receives up to $64,000 per piece in oils. I remember him when he got my prices for his work. WOW. So the range here is certainly not the same.

I am doing a Solo Show April 1 - May 30 and have decided to keep my prices where they are. Canvases all are 30 x 40", oils, and run about $1800-$2700, depending on complexity.

I agree that price tells something about the artist. I had a student (I teach beginner oils) who attended my workshop once and another artists workshop here for about 6 months. Her first oil ( first, notice) sold for $2700. I was so proud of her but felt strange that I am getting there only after all these years of hard work.

Michele Rushworth · 03-13-2003, 11:08 AM

It's hard to say why one artist's work goes for much more money than another's (other than quality, of course). There are two reasons I can think of: marketing and demographics.

The first thing I would do if I were you, Patt, is to market your work in the places where people who have a fair bit of money can be found. See if you can get your work in front of the people who stay at that five-star resort.

Next, market yourself strongly in the nearest large city where there is some wealth. Donate to expensive private school auctions in that big city. Display your paintings in frame shops and libraries in upscale neighborhoods there, etc etc. It may mean a couple of trips a year but can make a big difference in your sales.

Patt Legg · 03-13-2003, 10:43 PM

Michele,

Very good advice and I certainly will take it all into consideration. It appears that the past 3 to 6 months have held many changes for me professionally. Not that I have sold many more but the word is definitely out in this area of who I am and is growing.

I do agree about getting out there in other areas which is my marketing direction at this time. I am speaking presently with a gallery in Virginia about a solo show.

I have also developed a marketing packet. (This is something suggested to me at a marketing workshop.) I have two pocket folders in deep burgundy. Within those folders I have included samples of my work, brochures, business cards and letterhead stationery with a letter of introduction and artists statement.

All the above has been printed for me in the same color scheme (burgundy and cream) and the folder is gold foiled with my name. These are to be left or sent out to possible galleries or clients.

I spent a lot of money (in my opinion) to try this and have been proceeding to get my name and prices and position in this field. I am also entering for the first time, The Artists Magazine competition in portraiture and still life.

Whew-w-w-w! Now I am tired. Thanks to all. You are an inspiration to me