Eight Money-saving Ideas for 2005

After you’re certain you’re getting your product for the best price possible from the vendor, you’ll be ready to ensure you’re charging the best price possible to your customers. Don’t set your retail prices based on a cost-plus markup formula. I use this kind of a formula for the target price range of an item, but never for the final price. Set the final price based on what you believe you can get for the item, while selling the optimum number of units. Sometimes this will be at a margin much higher than your target — sometimes lower. However, if you can’t get close to your target margin, choose another product. Don’t set the price too high. There are many products available, find something that will help you meet your margin goals.