Art Price Calculator: How To Price Your Art?

article

How to Price Your Art

Our art pricing calculator is designed to be simple and easy to use. It will cover:

  • your base costs of time,
  • salary,
  • materials, and
  • allow you to input a desired profit margin on top.

We hope this calculator allows you to make more profits from your passion and value your work properly!

Please input below:

How do I price my art prints?

One important rule for any artist is to price your art prints in proportion to your originals.

Whatever you sell your prints for, your originals should sell for many times that amount. This reflects the value of the originals and allows a tiered entry process for new collectors interested in your work but reticent to at first spend the money on an original or a commission.

How do I raise my art prices?

First rule: Never undercharge.

Don’t be afraid to raise your prices. As demand for your work grows, you’ll need to raise your prices right along with the demand.

Not only does this communicate the value of your work to your current and potential collectors, but it prevents you from being constantly busy without anything to show for it.

How Does This Art Pricing Calculator Work?

1. Completed Hours

When creating artwork you can get lost in how many hours you have spent creating your artwork, for this reason, we recommend to use a timer when working.

2. Salary Per Hour

The salary per hour section can have any number input into it, depending on your skill at creating artwork you should put a lower or higher rate. To get an understanding of finding out your art skill level see this guide on pricing artwork.

3. Cost of Materials

The base cost for creating any artwork is the materials used and depending on the medium used to create your artwork the cost will vary. It is good practice to keep your receipts of what you have spent money on and then factor these into calculating the cost of your artwork.

4. Artwork Costs

Artwork costs uses the following formula (Completed Hours * Salary) + Materials. This will give you base cost of your artwork with no profits.

5. Desired Profit

Depending on how much profit you want to make input a number up to 500, each number represents a 1 percent increase in the sale price of your artwork. Ideally you would want a x2 markup on your artwork so you would input 100.

6. Sale Price

The sale price of your artwork uses the following formula Artwork Costs + (Artwork Costs / 100 * Desired Profit) This is a fairly simple formula which you can use without the calculator to work out the sale price of your digital art or fine art.

More tips on pricing your art:

How To Price Your Art

One of the most challenging and critical pieces to starting your art business is determining how much to charge for your art

When businesses under-price their product, this can be extremely detrimental to their bottom line and reputation.

Often times, businesses under-price their products to drive demand and volume, but that last thing you want is for customers to view your product/service as "cheap." Additionally, this can have a big impact on the type of customer you attract, which can be difficult to recover from.

On the other hand, when businesses over-price, this tends to be just as damaging to the business.

When customers buy, it's likely that they will explore the internet and look at other competitors to ensure they're getting the best value + deal. This is why it's so important that you research your competition and understand where you land in the marketplace.

Here are some factors to consider when pricing your product:

Understand your customer

It's important that out of the gates, you identify the type of customer you want to attract and how much they're willing to pay for your service. One great way to do this is by surveying your customers. Here are some important items you'll want to takeaway:

  • Customer demographic: Age, gender, location, etc.
  • Buying habits of your customer: What they buy + when they buy
  • Level of price sensitivity with your customer

All of these segments will help you identify the type of customer you're attracting and how to price your product accordingly.

Understand your costs

When pricing your art, it's critical that you first identify all of your costs and consequently mark up your art so you can factor in a profit.

The actual cost of your art may include things like:

  • The actual cost to make the product (ie. raw materials, supplies, manufacturer).
  • Shipping + overhead fees
  • Rent
  • Operating costs to run your business

You may want to consider creating a spreadsheet with every single expense involved in operating/owning your business. This will give you an idea as to what you need to generate in order to at the very least, break-even and will help you price your products to factor in a profit.

Create revenue goals

When determining the price of your art, you'll want to create goals for revenue + how much profit you want your art business to make.

This process is simpler than you may think:

  1. Think about your breakeven cost (by completing the above step).
  2. Create a revenue goal based off of your break-even cost
  3. Evaluate the # of items you plan to sell in a given period (make sure this is a realistic number)
  4. Divide your revenue goal by the number of items you plan to sell

This figure will help determine your estimated price per product in order to meet your revenue goals.

Evaluate your competition

The last piece in determining how to price your art is by simply looking at your competition.

The best way to do this is by finding like-minded businesses that offer product(s) with similar perceived value. Then, you can compare prices of the different businesses and determine where your art fits best in the marketplace.

All of these factors play an equal part in pricing your art, so it's important you evaluate each one individually to come up with an accurate price that will help optimize your business from the start.

Lauren Costanza, founder of Bluminary provides us with a detailed spreadsheet of all of her costs associated with running her business:

I knew this would be a self-funded adventure, and I set aside $3,000. During the first three months, I had a detailed spreadsheet where I tracked where the money was going and what was going toward products versus researching and developing new products.

The spreadsheets involved columns and rows of numbers to craft a budget and gain an understanding of how much would need to be invested at each stage of the process - from gathering supplies to building a website, and shipping materials.

article

article

-  
Lauren Costanza, on starting Bluminary ($500/month) full story ➜

Examples of a successful art business:

Station 16 ($1.8M/year)

Adam Vieira from Montreal, Quebec, Canada started Station 16 about 7 years ago, a art gallery.

  • Revenue: $150,000/ month
  • Founders: 3
  • Employees: 6
  • Location: Montreal, Quebec, Canada

Hi, my name is Adam Vieira, and I’m the creative director for Station 16 Gallery, a contemporary art gallery in Montreal heavily influenced by graffiti and street art.

We showcase original art, sculptures, and works on paper, which changes every month, sometimes every week. We also launch a new limited edition silkscreen print every month with international artists.

growing-an-art-gallery-to-150-000-month

-  
Adam Vieira, on starting Station 16 ($150,000/month) full story ➜

Innerglow Art ($51.6K/year)

Sarah Hickey from Plano, Texas, USA started Innerglow Art about 4 years ago, a art business.

  • Revenue: $4,300/ month
  • Founders: 1
  • Employees: 0
  • Location: Plano, Texas, USA

I’m Sarah, an artist from Plano Texas and living out my life long dream of being an artist. I am a stay at home mom to two; my oldest Elijah is 17 months and youngest Skyla is 4 months old. My husband is also an entrepreneur, so our schedules are pretty flexible and our children get to grow up seeing us both pursue our passions.

I started Innerglow Art about 3 years ago. I specialize in painting custom abstract paintings for people’s homes. While most artists avoid the route of commissioned paintings, I truly thrive at the connection of meeting people in their homes and painting a meaningful piece for them.

I feel like this sets me apart from other artists. I incorporate my abstract style with the color combinations to match someone’s home decor to a size that’s perfect for their space. I work closely with them for a few weeks to come up with a painting that’s truly unique for them. My paintings are also inspired by scripture and feel that there is a connection between the word of God and the movement and energy that is expressed through my paintings.

how-i-turned-my-hobby-for-painting-into-a-successful-art-business

-  
Sarah Hickey , on starting Innerglow Art ($4,300/month) full story ➜

--

Thanks for reading. We wish you success in your art business endeavors.

-  
Starter Story,   Founder of Starter Story

Share the story of Starter Story!

Leave a comment
Your email address will not be published.

More posts like this: