How to Price Your Products for Profit (Without Scaring Away Customers)
Because there’s more to pricing than just doubling your cost.
Pricing is one of the most overlooked but powerful tools in your reseller toolkit. Whether you’re flipping fashion pieces or creating curated bundles from TCC & Co., your price communicates more than just what something costs — it speaks to your value, your brand, and your customer’s perception of your hustle.
Let’s break it down like the boss you are.
1. Understand the Full Cost of Doing Business
You can’t price smartly if you don’t fully know what your product is actually costing you. It’s more than the supplier’s price tag.
Here’s what to factor in:
- Cost of Goods Sold (COGS): The amount you paid for the product itself (including delivery to you, customs fees, or packaging from the supplier if any).
- Packaging: Bags, thank you cards, branded wrap, tags, tissue paper. All the small touches count.
- Marketing Expenses: Whether you’re boosting posts, buying data to upload reels, or using Canva Pro for your flyers — those are costs.
- Operations: Airtime for WhatsApp, delivery trips, fuel, electricity to charge your phone and shoot content — it adds up!
- Your Time: This is your labour. You’re styling, shooting, promoting, handling customers, packing — this is worth money.
Example:
- Sunglasses: R50
- Packaging (box + thank you card): R10
- Marketing (boosted reel or airtime): R5
- Fuel / delivery split: R5
- Your time (R10 per product, estimate)
True cost: R80
Most resellers stop at the first line. But the rest is where your profit hides.
2. Set a Markup That Works for You — and Your Market
Now that you know your real cost, it’s time to layer on profit. Here’s a simple structure:
|
Markup Type |
% Increase |
When to Use |
|---|---|---|
|
Affordable Hustle |
50–70% |
When selling to budget-conscious buyers |
|
Standard Retail |
100% |
Most typical in fashion resale |
|
Luxe Niche |
150–300% |
For branded/luxury, curated or limited edition items |
Tip: Never just “double” blindly. Context matters. A R100 product sold for R200 works — but not if you’re selling to a market where R150 is the mental ceiling for that item type.
3. Consider Value Perception — Not Just Cost
Customers don’t always buy the cheapest. They buy what they believe is worth the money.
Ask yourself:
- Are your product photos clean and high-quality?
- Is your caption explaining the benefits (not just price)?
- Is the product styled or shown in use?
- Are your parcels cute or well-branded?
- Are reviews visible?
These things justify your pricing. It’s not about what you sell — it’s how you present it.
4. Use Tiered Pricing and Bundles to Boost Perceived Value
Bundles give you wiggle room. For example:
- Sell sunglasses at R100 each OR
- Offer 3 for R270 — R90 each, but total spend is higher
- Add optional extras like leather cases (+R100) or branded pouches (+R200)
This method:
- Encourages more units per order
- Increases average order value
- Makes customers feel like they’re getting a deal
Bonus Tip: Tier your bundles. Have an entry-level “Hustle Starter” and a luxe “Plug Package.”
5. Build Pricing Confidence (So You Don’t Flinch When They Ask)
If you’re hesitant when someone says “Yoh, why so expensive?” your customer will pick up on that. You must be confident in your price because you did the math.
Train your mind to say:
- “Our bundles are curated to help resellers make profit.”
- “The quality speaks for itself — I only sell what I’d personally wear.”
- “Packaging and local delivery are already included, it’s a full experience.”
Your price tells your story. Don’t let it whisper when it should speak boldly.
6. Review and Adjust — But With Purpose
If something isn’t selling, don’t immediately slash prices. First, ask:
- Did I promote it enough?
- Do my photos and captions communicate the value?
- Have I tried styling it in different ways?
Only discount once you’ve maximised your marketing efforts. And when you do, frame it as:
- “End of range”
- “Once-off deal”
- "Weekend sale”
Don’t train your buyers to wait for you to get desperate.
Bottom Line? Price Like a Boss.
You’re not just selling stock. You’re building a business, a reputation, and a lifestyle.
- Know your true costs
- Price with strategy, not fear
- Market your value, not just your product
- Trust that your customers will pay for quality and curation
And if you’re sourcing from TCC & Co.? You’ve already got a head start — your stock is made to move.