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Olivia Rodrigo Selling Butterfly Pool Floaties


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and to think prices will just continue going up :selena: I wonder how they decide the price like is there a formula or is it just whatever comes to their head on the spot?

Edited by Jenina
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salty like sodium
2 hours ago, Jenina said:

and to think prices will just continue going up :selena: I wonder how they decide the price like is there a formula or is it just whatever comes to their head on the spot?

lol so obviously it's not just random since ppl need to make money. :P they usually calculate how much it costs to design/market/manufacture, then add on however much % they need for salaries of staff/royalties, and then however much % they want to generate as profit based on a sell-out. hope this helps!

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1 minute ago, salty like sodium said:

lol so obviously it's not just random since ppl need to make money. :P they usually calculate how much it costs to design/market/manufacture, then add on however much % they need for salaries of staff/royalties, and then however much % they want to generate as profit based on a sell-out. hope this helps!

I meant the last part being random. The amount of profit they make after manufacturing is taken out and salaries and all that stuff. Manufacturing something like this is low enough of a price that you could make profit still without putting a $90 price tag on it so I'm curious about how they choose that particular aspect. Is it a set % of profit they use for every item or is it more of a case by case basis? That kind of stuff but thank you 

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King of the Fall

Imagine being a big enough sucker to pay 90 for something like that

The problem was, she had a little black book and my name was written on every page
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salty like sodium
2 hours ago, Jenina said:

I meant the last part being random. The amount of profit they make after manufacturing is taken out and salaries and all that stuff. Manufacturing something like this is low enough of a price that you could make profit still without putting a $90 price tag on it so I'm curious about how they choose that particular aspect. Is it a set % of profit they use for every item or is it more of a case by case basis? That kind of stuff but thank you 

I got you, I just found the wording funny haha. I work for a consumer products manufacturer and actually you wouldn't believe how expensive some stuff can be to make sometimes. It also comes down to quantities – for example, it's a lot more expensive for Camila Cabello to make a tee-shirt than it is for Taylor Swift, because TS has so many fans that it probably costs her 1 cent per tee-shirt vs. 50 for Camila (just a random number). And salaries can be so high that they account for a need for a strong margin. Also depending on where things are sold, profits might need to be split (but usually the official web shop gets to keep everything). But yeah you have to manufacture the product, the packaging, pay for people to ship it and do customer service in case of damages etc... So it probably costs them more per item than people think. In terms of how much profit they want, it really depends on the item I'd say. Usually when new items are created it's because they're trying to squeeze in just a little more $ somewhere so they will calculate how much $ they want to make and try to find a product that can help them meet that target within their budget. So it's probably a case by case situation. And products that are not tee-shirts tend to cost more since they're not common and therefore cost more to make (because tee-shirts are so widespread now every factory knows how to make those cheaply, whereas a floatie is not as common a product). Hope that helps!

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