Shedding some light
We also want to offer insight into our pricing. Here is one example for our long sleeve dress made out of TENCEL™. For someone who is used to Fast Fashion our prices might seem high. However, we have a fair and transparent supply chain, our manufacturing company pay their employees very good wages, we use high quality materials, we try to avoid plastic (we don’t always succeed yet) and we have tried to use the most sustainable packaging solution that we can find for us. However, quality and sustainability has its price. Read more about the problems of fast fashion and why fast fashion is actually “too cheap” here.
A break down for our TENCEL™ long sleeve dress:
53,59€ materials per dress (fabric, buttons, thread, tags, packaging, shipping of all material)
25€ production cost per dress
76,41€ markup that pays for our company costs, for design and development costs, insurance, marketing costs, investments for future collection, etc.
The price also includes 20% sales Tax. This does not include our income tax.
For our next collection we also want to include 1% donations per order.
The industry standard for a profit margin is usually between a 2.2 and 2.7x markup - meaning the sales price is the cost of the garment production times 2.2 or 2.7, respectively. We cannot set our markup much lower, since we sell small quantities, need to pay company costs and reinvest in future collections.
If you have any more questions regarding our pricing let us know.