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  1. #1
    Join Date
    Jul 2007
    Location
    Land O Lakes, FL
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    264

    Default Wholesale Price for Local Sellers such as Farmers Markets

    I have secured one and have a few more potential fruit/veggie markets to sell my honey locally.

    What is a reasonable wholesale price to sell to these locations in % of expected retail? I don't want to sell at the typical wholesale price of honey.

    Or do yall do some sort of consignment with your honey?

    On a one pound of honey, I am estimating about 80 cents in the bottle and label. If I sell it to the market at $3 with a suggested retail of $5, that leaves me about $2.20 and the retailer about $2. Of course, I have all the other expenses, so it does not quite seem fair.
    Last edited by mgmoore7; 04-09-2009 at 08:46 AM.

  2. #2
    Join Date
    Dec 2005
    Location
    Brasher Falls, NY, USA
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    27,682

    Default

    I don't understand. Are you selling cases of honey to stores that will be reselling it? Or are you selling jars of honey to Farmers Market customers.

    If you are wholesaleing honey to stores, I would suggest that you figure out what it costs you to produce, package and sell your honey and price it accordingly. The stores will figure out their own retail price. I don't usually suggest a retail price, except when asked and then I usually tell them what other stores near by are doing.

    The stores will also tell you, indirectly, whether your prices are too high, by not buying from you. They'll never tell you when they are too low.

    Just some thoughts.
    Mark Berninghausen To combat Ebola, please consider supporting http://www.doctorswithoutborders.org


  3. #3
    Join Date
    Jul 2007
    Location
    Land O Lakes, FL
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    264

    Default

    Quote Originally Posted by sqkcrk View Post
    I don't understand. Are you selling cases of honey to stores that will be reselling it? Or are you selling jars of honey to Farmers Market customers.

    If you are wholesaleing honey to stores, I would suggest that you figure out what it costs you to produce, package and sell your honey and price it accordingly. The stores will figure out their own retail price. I don't usually suggest a retail price, except when asked and then I usually tell them what other stores near by are doing.

    The stores will also tell you, indirectly, whether your prices are too high, by not buying from you. They'll never tell you when they are too low.

    Just some thoughts.
    Yes. These really are NOT farmer markets I guess but rather more like local roadside fruit/veggie stores. Yes, I would sell them an assortment of honey in different sizes in cases I suppose.

    I am planning to sell 8oz bears, 1lb sqeeze, mason pints and quarts.

    The 1st place I have already communicated with won't have any idea what to sell it at so I will need to suggest prices. It is a balance. I want to make some $, he wants to make some money, and it needs to be priced appropriately for the local market for local honey so the buyer will purchase it........

  4. #4
    Join Date
    Dec 2005
    Location
    Brasher Falls, NY, USA
    Posts
    27,682

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    I can tell you what I do.

    I don't do consignment sales. If the store doesn't think that my honey is a good buy, then neither will their customers. I do have a buy back policy that I tell the store owner about the first time that I meet them. If the honey doesn't sell fast enough for the store owner, then I buy it back at the same price as I sold it to them.

    W/ some seasonal outlets I will take back honey at the end of their season at the price which they paid for it. As long as they haven't price tagged the label or marked the lid so I'll have to replace it.

    I don't break cases, except at one store to which I sell a half case of 8 oz. jars. They also take bears, ones, twos and five lbs.

    I took honey to SC, the last time that I went there. A new customer took a case of bears and ones. He didn't know what price to sell them for. So I suggested a price that he could make a dollar on each jar. That would make a retail price for 12 oz. bears $2.99 and one lb jars $3.49. This is a small country store/gas station and grill.

    Other retailers double the cost of the product to set their retail price. And it still moves.

    You'll know when you've asked too much for your honey when the sales start dropping. If you can get right up to that point w/out actually getting there you will be getting as much for your honey as you can get. And that's where your profit is also. But it's something that you'll never know w/out taking a chance and pushing the price.
    Mark Berninghausen To combat Ebola, please consider supporting http://www.doctorswithoutborders.org


  5. #5
    Join Date
    Aug 2001
    Location
    McGraw,NY,USA
    Posts
    580

    Default

    Bee Culture has what is called the regional honey price report each month. I have a guy who buys it by the case and takes it to NYC to resell. This is what I charge him based on my region (2) . For your region it lists cases quarts/12-79.50, pints/12-58.00
    1#/24-72.00, 1/2#/24-64.44 . They can decide what they sell it for. I also buy back what isnt sold. I note that I only pack in glass, as I dont want to have to deal with decrystalizing anything in plastic...hope this helps...
    Turn stumbling blocks into stepping stones

  6. #6
    Join Date
    Jun 2008
    Location
    boulder Co
    Posts
    17

    Default Honey price

    I have a farm stand and produce honey. For us to buy honey for resale and make it profitable we need keystone markup or 100%. If you sell a jar to us for $3 we need to be able to sell it for $6. When I used to buy honey from a local producer we would make 80% markup just so we could sell more of his honey to help him out our customers liked that our honey was better and cheaper than the natural food stores. If you factor in loss of product etc to be in retail 100-110% is about normal. When selling it can be important if the honey is in glass jars or plastic and how nice the labeling is. We use glass hex jars and they are nice enough for gifts the way we label them. We can charge more for our honey than in an unattractive plastic jar. The smaller the jar the more you can charge for the honey usually. A honey stick at $.25 is expensive honey but no one cares. A gallon at $5 a pound is expensive but a small jar at $7 a pound sells well for us. Figuring out all of your costs is really hard. I began buying jars by the pallet to bring down the costs especially for shipping. I would check wholefoods in your area to determine a retail prices per jar to aim for.

  7. #7
    Join Date
    May 2008
    Location
    Snowmass, Colorado, USA
    Posts
    2,496

    Default

    Find out what the market will bare in your area and that should be your price. I sell 12 oz bottle for $10 and no one blinks an eye. I sell it by the case to others who resale it for $7 ea and they can mark it up however they want as long as it retails for $10 or more so as not to undercut my retail market. (Most sell it for around 12 and as high as 15, so it depends on your market.

    Remember not to sell yourself short. The time, effort, equipment, feeding, etc. etc. should be factored into your product. Don't give it away.
    Life is tough, but it's tougher when you're stupid. John Wayne

  8. #8
    Join Date
    Apr 2004
    Location
    Macon, GA USA
    Posts
    949

    Default

    I have been hosed with consignment sales at fruit stands. They're too mobile. They can up and disappear along with your honey. Fortunately it was only a few jars. I'll never do that again. I generally knock 20% off of my retail market price for the stores and they usually match my retail price. For some stores that works, others say if they don't have a 100% markup on everything, they'll go under. They mark it up and it still sells.

    I don't have case quantities, but I do require a big enough order to justify the delivery. I also offer to swap out any jars that crystallize. They will sit on the shelf forever and if they don't move, the store won't order more. This rarely happens as it usually moves quickly.

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