What I have to say about Pricing, which is a lot, but bear with me | libdib

what i have

Many Makers have been asking us here at LibDib about pricing. They want to know how best to price their products and then submit an offering to restaurants, bars and retailers. My nearly 20 years of experience has given me a little bit of knowledge about what buyers expect when it comes to pricing in a competitive marketplace. However, it is ultimately up to you as the Maker to decide how much you want to be paid for your products. And pricing really does matter. If you price your products too high, buyers might be hard to come by. If you price too low, your products could appear on the shelf for lower than you would prefer.

So, let’s get down to the question at hand: How should you price your products on the LibDib platform?

When I was working at my family’s winery, I would do a simple math problem (I am kind of bad at math, so simple is necessary). The FOB (the price I sell my wine to distributors) price was half of retail. If I sold my wine for $40 per bottle, then I would sell it to the distributor for $20 a bottle or $240 per case. In most cases, the distributor would ask for extra “marketing spend” or Depletion Allowances (DAs) for programming or QDs (Quantity Discounts). So that $240 was never the total amount of money I would receive for my case of wine (that’s a whole other blog post for later).

Keep in mind there is no extra “spend” with LibDib as your distributor.

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What I have to say about Pricing, which is a lot, but bear with me — libdib.