So, how do we get to our pricing? Explained.

by Alison Schipp April 07, 2020

So, how do we get to our pricing? Explained.

You've arrived at this page because you are smart. A smart consumer. And you like quality. 

We thought it would be respectful to explain to you a bit about our pricing structures - and the reason being is we know that times are tough, and every cent should be accounted for.

Simply put, we don't look at anything except for our costs. We don't shop around to compare and contrast how much others are charging compared to us. We have always been much fairer than that. We also know you are fair too, and recognise there is value in the service that we are offering, so we charge a margin too.

Let's break down the costs of one of our Cozy robes. Bought in US dollars, we have kept things extremely tight.

Cost of goods, plus shipping to AUS:  $77.00 USD approx it jumps to

At an exchange rate of 0.61cents:       $125.00 AUD approx - THEN ADD

Marketing, office and storage costs:    $150.00 AUD

Shipping to you:                                           $166.00 AUD

AND GST:                                                    $184.00 AUD

SO CHARGING $199 OUR MARGIN: $ 14.00 AUD

OK, so that doesn't look very good does it.  Well, this I suppose is our most costly item to purchase, however you can see there is no 'fat' as they say to spare in here. When the exchange rate was lower in better days, well, the prices were lower.

We will be talking with our supplier about whether their prices will come down - but, that is an unlikely event. They have their own costs and produce considerable quality products, so I think the conversation will be quick.

We wanted to do this exercise to show you how tight businesses do operate, and that we are clearly trying to offer products at their very best prices. It is expensive to function as a small Australian business, operating in $AUD against world currencies all the while keeping unique quality products to quality customers.

If you think that anyone you know would love our offerings, please send them a link to https://beautiful-robes.com/ so that we can keep bringing you amazing products and services ongoing. By encouraging customers through our current network, it reduces our marketing costs, which then obviously improves margin.

Hope your day is calculating well too!

Thanks for your time,

Alison and the Team




Alison Schipp
Alison Schipp

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