I learned this from my teacher Nancy Wang:
How much can you afford to pay? (ability)
How much do you want to pay? (willingness)
How much should you pay? (value)
How much are you prepared to pay? (reality!)
If only I could ask my customers... but the answers would be different for each person. Setting prices causes me some anxiety. It takes countless hours, days, and sometimes weeks to make an item, so how do I factor that into the price? Or do I? Sometimes I'm daydreaming about a concept, shopping for the right color, considering construction, taking classes... Should I ask for the moon? What was the cost of materials? How little can I afford to accept? Will it sell for that amount? Have I made enough to sell? Have I made too many? Who would buy it at this price?! Needless to say, there is a lot of angst to be had on this subject. These are my price tags which, you see, are blank.
UPDATE! Click here.