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I'd like to know how some of you experienced market growers set prices for your crops. We primarily sell veggies (Tomatoes, Peppers, eggplant etc) but we may entertain selling cut flowers this year.
Last year we sold our tomatoes by the basket. $3.50 for a quart basket filled with heirloom tomatoes. We weighed a couple and they seemed to average out at about a pound for each basket. $1.75 for Cherry tomatoes. $3.00 for types like Rutgers. Cukes we sold 2 or 3 for a dollar.
We aren't trying to gouge people. (It shouldn't cost an arm and a leg to eat wholesome food!) But we want to price our products so that we aren't giving them away and we make enough of a profit to plow into our gardening the next year.
We are preparing a more formal business plan for this year and I'd like to have a sensible pricing model in place as we will be selling a larger variety of crops and more of them.
Some of the questions I have:
How do you set prices?
Do you set a price for a crop at the beginning of the season and keep it there?
If something adverse happens during the season that affects your crop, do you adjust prices accordingly?
When and how do you handle price increases?
How do you track what you've grown vs. what you sell? (This was a problem for us as we were newbies and kept horrible week to week records of how much we harvested vs how much we sold)
How many of you sell by weight vs a per unit selling price and do you feel there is an advantage?
Thanks in advance for your input.
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