Too expensive?

Customer is king. That was and has always been my starting point. However, it is difficult to continue to apply this principle when potential customers increasingly start calculating your price and expect you to only charge your material cost. Working hours? Fixed costs? VAT? Margin of profit? It sometimes seems as if one has never heard of it. In fact, a significant group within our Muslim community is consciously or unconsciously expected to work for free and maybe even make a loss in order to meet their wishes. Very occasionally I even get the question whether they can get something fi sabiillah because my webshop is called Islam Inspired, isn't it? 

As a starting entrepreneur, it is tempting to lower your prices. How else are you going to get customers? I too fell into that trap for a moment, until I found out where those unreasonable expectations come from and that I was doing an injustice to my own abilities and my family by working until the late hours for a "mere money". 

In this blog I try to give you more insight into pricing and I explain why cheap is not always sustainable. 

People are used to discounter prices

Understandable. I also sometimes shop at the well-known discounters. They are cheap. Especially cheap.  Sustainable? That's another question. And I'm not just talking about the quality of the products, but also about employees who are being exploited. Mass production. Often in developing countries. That way you can indeed offer your products at rock bottom prices. 

For example, I was once asked to copy an Ali Express poster because the customer did not want to wait six weeks for it. It was suggested to do it for the same price: 2, max 3 euros. Because it's just a sheet of paper, right? 

“Diva awards! And that for a bit of paperwork” as another customer put it when I sent out a quote for two custom-made cards and name stickers. 

People forget that behind that “paperwork” are hours of graphic precision work. The same goes for logo design. There people find 25 euros too much, while the actual market price is at least ten times that. After all, it is about the visibility and recognisability of a company. Something that needs to be thought through carefully.

Black versus registered business 

When I started my business, I wanted to be legally in order so that I could sell with a clear conscience. I wanted a professional website with a solid payment system to serve the customer as smoothly as possible. In addition, I have invested in a lot of equipment and programs. All factors that cost money and that I inevitably have to include in my selling price. I opt for quality material and I pride myself on writing all my texts myself, not using inferior and copyright-protected illustrations and constantly looking for originality. Every product that rolls out of the printer is finished with my own hands. At the same time, I do not yet have the budget to build up large stocks, which reduces the unit price. My material cost is therefore relatively high. And last but not least: 5% of my profit goes to a sadaqa project. 

Obviously, my prices aren't as competitive as those of someone who works in the black, doesn't care too much about copyright, uses inferior material, and only has a free Facebook profile to maintain. Do you want to know the actual market price of a product or service? Use the Google search function and consult websites of registered entrepreneurs with references. 

Graphic customization is only a small part of my business. I am not dependent on it, but I hear more and more often from colleagues from other industries that they experience the same problem. I find that distressing. That on the one hand people want a professional, experienced service or original and personalized item, but do not want to pay the correct price to the small Muslim entrepreneur. Often there is also rude or just no response at all to a quote. 

The next day, the same customer has to settle for impersonal multinationals that do not take human rights too seriously. 

Do I sound sour? bitter? I hope not, because I am mainly disappointed because honest and Islamic business is not always appreciated by the customer. The Muslim customer. A customer who also does not like to work for free. A Muslim you expect to wish for his brother what he wishes for himself. 

My sincere thanks go to the customers who do see and appreciate the value and hard work behind a product or service. 

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