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Making a Living with Your Arts & Crafts


Consignment

There is probably no easier way to get started selling your work than consignment sales. What this means is that you put your work in a gallery or shop. Once your piece is sold, then you're paid. Generally you are paid every two weeks or once a month, or whatever their schedule is. It generally is the case that it takes money to make money. Consignment is the exception, because you have no up front costs.

They are providing the space in their shop to display your work, they are writing up the sales, processing the credit card, and wrapping the purchase.

For this service they are charging you anywhere from 30 to 50%. 40% commission is probably more likely the norm today.

They will ask you set the retail price. This means that mentally you have to subtract the commission, say the 40%, so that you know what you are going to have left to put in your pocket.

You obviously don't want to set the price to high or the work isn't going to sell and you don't want to set it too low or you are not going to make any money.

There are shops and galleries that have work that they buy wholesale and also work that they take on consignment. You as a craftsperson may be offering them a style or design that they can't find at the wholesale level.

Two places that only worked on consignment: I was in a craft gallery in an Art Museum that sold my work on a regular basis. Also, there was a regional craft center in Pennsylvania which had a reputation for selling original work. These were excellent consignment opportunities because they catered to people who like work such as mine.

You can also find shops in your own area. You approach the shop owner, show them what you have, if they like your work and the price is right, they'll probably accept your work. They will be a little more open to your work since they are not putting any money up front for the work, and they have the chance to make the 40% commission if it does sell.

If you get serious about consignment and it becomes a part of your income you will eventually want to have four or five consignment shops that sell your work. Obviously you don't want these in close proximity. If you live in a city, you might want a consignment shop on the North side, South side etc.

Another type outlet that is almost like consignment is when you rent a space in a Craft Mall. You've seen Antique Malls and there are Craft Malls.

An interesting story on Craft Malls is about a craft mall that was opening in Northwest Illinois. It really looked like it was going to be a great place. The space fee was $125.00 per month, but if you signed up for 3 months in advance there was a special for $300.00, or $100.00 a month.

In the three months I doubt that I sold much over a hundred dollars worth of my work. But, a gallery owner from Chicago saw my work and contacted me, asking if I sold wholesale. I said yes and mailed them my wholesale catalog.

That began a 19 year relationship that netted me many thousands of dollars worth of orders.

When I began doing Instructional Videos I stopped doing wholesale.

It was hard to give this account up because they were such great people and I had enjoyed our business relationship.

This is a good example of never knowing where you business is going to come from. This is also a good example of the initial plan (craft mall) didn't work, but it led to a new opportunity.

But back to the craft mall type outlet. I have had several craft mall experiences that have worked out well. You just have to give it a try.

If you do a craft mall make sure that you keep your display looking fresh by adding new pieces and rearranging your display for a new look.

Another possibility is a membership in a Cooperative Professional Craft Gallery. I belonged to one here in Brown County Indiana for over ten years, and it did wonders for me. I had a display area for which I paid $50.00 per month and a 13% commission on the sales. I also worked two days per month in the gallery.

The gallery took care of making the sales, processing the credit cards, and wrapping up the purchase, My responsibilities was making sure that my display looked good, paid the $50.00 a month and worked my two days a month.

It is somewhat like renting a space in a craft mall, but it is different in that it is a Co-Op gallery and you are a member. There are monthly meetings to discuss business, jury in new craftspeople, and any other business that pertains to the gallery. As a member you have a say in how the gallery is run.

This is much like consignment in the sense that you do not get paid until your work is sold.

One thing that is common to all of the above is that you do not have to take credit cards. In other words you do not have to have a merchant account. However, getting a merchant account and being able to accept credit cards is much easier today than it was in the past.

A difference between the Co-Op craft gallery and a craft mall, is with the Co-Op gallery you have to be juried into the gallery. In other words, does the type of work you produce and the quality of your work fit in with the gallery's vision?

In a craft mall, they mostly want your money and whatever you put in your display is your business. Obviously they want good quality work and they want your work to sell, but they are not as particular as a Co-Op gallery.

One of the benefits of working with local shops is that you can hand deliver your work. This eliminates the need for packing and shipping. If you do pack and ship your work to a consignment shop or gallery this is an expense you must bear. Be sure that you include this figure into the dollar amount that you will receive for your work. It is a cost, just as your materials are a cost.

Choosing A Consignment shop or gallery

Lets start out by using an extreme example. You have produced a quality piece of work.

A) You get a booth at a flea market. You display your work along side all the other booths. How does the public see your work in terms of value?

B) Your work is exhibited in a respected New York gallery. Now, how does the public see your work in terms of value?

What is around your work and it's location in part, determines the value of your work. When people go to a flea market they are expecting to pick up something cheap. When they enter a New York gallery they expect to pay top dollar. They are buying, in part, the reputation of the gallery. They are assuming that the gallery only exhibits top quality work.

You could have the same piece of work at a flea market and people would want to haggle, even if the price was $50.00, where in a New York gallery they might think that $500.00 is quite a bargain.

The above is an extreme example. But an example that can help you in finding the right consignment shop or gallery to display your work. You want the best shop or gallery  to carry your work. The other work in their shop will add value to your work.

It may be that the best shop will not accept your work. There can be many reasons for this. Maybe they already have work similar to yours. They may feel that your work doesn't fit in with their vision of the persona they want to exhibit to the public. They may feel that your price is too high.

If they don't want to carry your work, then go on to the next best shop or gallery. The main point here is to get into the best shop possible.

When you find a shop that accepts your work and it sells well, you can always go back to the first shop and show them how well your work does sell.

Once you establish yourself in the first shop, stop in every so often and get to know the owner.

In my case, I do many different types of metal sculptures. I may think that what would work best is some of my bicycles. It may turn out that bicycles don't sell there. Now is the time for me to bring in some of my leaf sprays. These may do much better. I can keep changing until I find the right type of sculpture that will work in that particular shop.

In consignment or even wholesale, you want to make sure of the owners goals. Here in Brown County Indiana, the town of Nashville has about 700 population, but over 300 shops. Some people come here thinking that this would be a good place to retire. They also think that having a shop would be a good addition to their retirement income.

They have little experience in retailing and after all they are retired, so they don't want to work too hard. It becomes something like a "play thing". This is a business that is likely to fail in the first year.

In business, "hungry people" get things done. They do whatever it takes to be successful. When people are dependent on the income from their business for their livelihood, they are much more likely to succeed.

Choose to put your work out on consignment to a business that really is in business!

Pros and Cons of Consignment.

The pros for consignment, as already mentioned is that there are no up-front costs to you. Your only responsibility is to deliver high quality work at a reasonable price.

Another positive with consignment is that you will quickly get a feel for what sells and what doesn't. If you have more than one consignment outlet you may find that items that sell well in one shop don't sell well in another.

This is a good way to get a feel for selling your work without having to pay for your own shop and the overhead such as rent, utilities, insurance, dealing with sales tax, credit cards and all the other aspects of having a retail shop.

On the Con side, you do not really have any control on how your work is displayed. It is not your shop or gallery. I've learned through the years how my work is best displayed, I can suggest to the shop owner, but I can't dictate.  Yet, I do want to keep an open mind, maybe their ideas are better than mine.

The Co-Op gallery is an exception. You are a member and you have complete control over your display. You can arrange it in anyway that enhances your work.

Some shops that accept work on consignment are working on a shoestring budget. You may not get paid on the pre-arranged schedule. I can live with that if I feel the owner is working with me in good faith. If the situation continues I will remove my work.

One problem I've had is putting work in a shop and expecting it to sell immediately.  If it doesn't sell quickly I lose interest.  What I should do is keep taking in new work until I find those "just right" pieces that do sell.  There have been shops that would have been successful selling my work if I had devoted more effort in getting them the right pieces for their shop.

Over all, the positives of consignment way out weigh the negatives.

You're never going to know how it will work for you until you try.


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