I am opening up a chocolate online shop and I will create the chocolates, I would like all the help…
I am opening up a chocolate online shop and I will create the chocolates, I would like all the help I can get. What is the best way to make assumptions on how much you will sell and at what price? I dont have much competition, the similar competition sells chocolates at 55 dollars a kg
Thank you thats exactly what I am doing right now but its hard to assume even when you put your numbers down. I will make 3 scenarios and see what works…
Where are you located?
There are at least two ways to approach pricing and you should use at least two.
One way is to entertain a competitive analysis. You give one example, however, couldn’t any online shop that sells the same kinds of things you want to make be considered competition?
Another way is to take a look at costs and model how different sales levels affect profitability. Say you want to net $25,000 profit after all costs (including ingredients, rent, sales and marketing, salaries, benefits, taxes, etc). How much do you have to sell (at what prices) to reach that net?
There is no best way to make assumptions. What you want to do is make a model and test assumptions in order to determine what makes sense for you.