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Old 09-14-2009, 08:19 AM   #1  
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How do you compete?

In this past year, my husband and I have both been laid off. While this has been a devestating blow to our family, it's been a true blessing in disguise. It's almost forced me to persue my dream of having a small but profitable business in paper crafting. The best motivation is remembering how much I love staying home and trying to avoid going back to work outside of the house. (Although my DH could REALLY use a job - he's getting on my nerves! lol)

Anyway, my DH is a locally well known musician and has been using his social networking "fan" base to help promote my new venture. I've gotten lots of inquires and even some orders but I notice that the general public has a skewed expectation of what handmade costs. They seem to think that because it's handmade, it should be cheaper....I don't get it.

For example: I had a prospective customer ask me to design a Christmas card that she wanted to order 60 of. I designed a gorgeous but simple card using high quality products but minimal embellies to keep costs down. I told her that since she was a friend of my DH's, I would charge $2 a card. She litterally balked at this price saying that she usually buys 60 cards at Target for $20.

So here's the bottom line: Aside from selling "up" my cards (ie: explaining how they're handmade, pieced and designed, etc), which I already do, how do you compete with mass produced, bulk cards? Do you try to justify your pricing?

As a side note, I know that it's very difficult, often impossible to make a living doing this but I need to give it a shot. I've been dreaming of this for a long time and finally have the opportunity to do so. So with all due respect, please save your comments about how I'm not going to make a living selling paper crafts.

Lastly, thanks for letting me vent!!! I know I went on and on but I appreciate your input!
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Old 09-14-2009, 08:27 AM   #2  
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Hand-made or home-made can often have negative connotations to many people.

Instead you are selling CUSTOM made, ONE-OF-A-KIND creations. Don't call youself a stamper or a paper crafter. Crafting is something that people do as a hobby. Promote yourself as a textile artist. Sell exclusivity. Sell originality. Sell artistry.

HTH~ I think it's a tough world to do business in no matter what you are selling.

Good luck!
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Old 09-14-2009, 08:32 AM   #3  
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Sophie...I sell literally thousands of dollars worth of cards every year. You should check with your local community center and put up flyers or get contacts for childrens teams that need stuff to sell to raise money. I support two swim teams with 1250 cards each which I sell for $2.00 and they sell for $4.00 or $5.00 each. These are simple cards but nice. I package each card in a clear envelope which I buy from myself and also put a white or ivory mailing envelope in the clear envelope with the card. Yes I could make more but I am perfectly happy with this...It nets me right about $5000 just before Christmas time when it comes in very very handy. Check with your church. The kids are always needing to raise money for camp or something. I also supply cards to the kids at church...instead of cash I accept a $3.00 per card write off "donation". Then do you know anyone who works in an office who could have a basket of your cards and sell them? My hubby keeps a basket on his desk for me and just Thursday and Friday of last week alone brought home over $100.00 for me. These cards sell for $3.00. As you can see I make and sell a LOT of cards. I also supply my church card ministry ($3.00 per card write off) and send thousands every year to the troops. PS. I also work full time outside the home.
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Old 09-14-2009, 08:55 AM   #4  
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It might sound harsh but I don't think somebody who usually buys 60 cards for $20 is your target customer. I think people are often more willing to pay for "one off" or special occasion cards rather than multiples - they don't appreciate the time involved in producing 60 hand made cards but a special card for a wedding, new baby, anniversary or something is much easier to get a handle on.

Maybe rather than looking for ways to compete with mass produced stuff, you need to find routes to the kind of customers who really want and appreciate handmade stuff. Rather than make up a sample when somebody approaches you, lay down some parameters first - tell the prospective customer that your prices start at $x per card and maybe show them something you already have that would be equivalent in terms of layers, embellies etc. If they're still interested, work up a bespoke sample for them then. If you look at the girls who make a business of wedding stationery, they are usually laying out their stall in advance - they have a sample book or website with typical designs and they spell out what the basic prices are before they get in to negotiations about customising for an individual.

Best of luck, hope your DH finds a job soon and that you are able to make some money from your papercrafting!
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Old 09-14-2009, 08:59 AM   #5  
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I love your tip about advertising that I'm a "textile artist" that sounds much fancier than "stamper"!

Amber, you're what I wanna be when I grow up! lol I know everyone always asks you: How DO you have enough time in the day!!! Oy vey! lol

I will approach my local church and other fundraising types of deals...thank you.
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Old 09-14-2009, 09:02 AM   #6  
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Quote:

Originally Posted by babydal57View Post
Hand-made or home-made can often have negative connotations to many people.

Instead you are selling CUSTOM made, ONE-OF-A-KIND creations. Don't call youself a stamper or a paper crafter. Crafting is something that people do as a hobby. Promote yourself as a textile artist. Sell exclusivity. Sell originality. Sell artistry.

HTH~ I think it's a tough world to do business in no matter what you are selling.

Good luck!
I think that is an excellent way to market your unique talents
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Old 09-14-2009, 09:02 AM   #7  
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I sell cards at work, more than anything to help support my habit. They are priced at $1.50 each. I don't use alot of embellies, that's not my style anyway. I don't sell alot, but get lots of compliments. Our area has been VERY hard hit by the economy. I don't think I could ever get more than that for them here anyway. My husband would love to see my make some real money on this because he knows how much I love it. Reality from my observations and experiences tells me it's not going to happen.

I do wish you the best in finding the right clientele to support your dream.
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Old 09-14-2009, 09:24 AM   #8  
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My family is all grown and gone and my fabo hubby travels for work 5 days a week so when I am not at my full time job...I am in my happy stamp room. My hubby keeps a basket on his desk that generally produces between $75.00 - $125.00 per week in sales of cards. It is a big office. I put a bunch of new cards in the basket last week so he made over $100.00 just on Thursday and Friday. There is another way I forgot to list to find avenues to sell cards...do you know any teachers? They also can be a good way to sell your cards. I have two teachers who sell my cards at school and they want nothing in return. There are always sports teams at schools also who need new ideas to generate $$$ so that is another place to check out.
Oh..I dont cook or clean anymore. I grab a sandwich or left overs or order in and I have a maid to do the cleaning...lol spoiled rotten I am. But I love to make cards...
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Old 09-14-2009, 09:27 AM   #9  
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oh my gosh...why is it posting so many times...so sorry everyone...have no clue.
blessings.
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Old 09-14-2009, 09:30 AM   #10  
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I'm not sure why it's posting so much, Amber but man, I'm loving reading it again and again! Especially the maid part! Like I said, I want to be YOU when I grow up!!! lol
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Old 09-14-2009, 09:47 AM   #11  
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I agree with some of the above posters about your target audience. If you're getting comments that they can get the cards for so much less elsewhere, then they need to go elsewhere! You have to find your niche and your target audience (with those prices, you're shooting for about medium-end) and then market to them.
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Old 09-14-2009, 09:53 AM   #12  
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ty Sophia..you are so sweet....I am blessed to be able to spend time doing what I love and helping both the bottom line and others at the same time. I raised my three boys and could not have done this while raising them..at least not to the extent that I do it now. I shipped off close to 400 cards today to the troops....it always gives me a warm feeling as I send off those boxes. I hope you can find a way to make doing what you love generate some $$$ for you and your family.
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Old 09-14-2009, 10:29 AM   #13  
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If you can't change your target audience, go digital. Invest in a color laser printer and you can produce hundreds of cards in much less time and for less cost. Just a thought.
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Old 09-14-2009, 10:39 AM   #14  
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Could you sell your made-up cards at some locally owned stores? You know by the register, kind of a one-stop-I-forgot-to-get-a-card kind of thing? If your friend only pays $20.00 for 60 at Target, she must be getting that AFTER Christmas!
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Old 09-14-2009, 10:47 AM   #15  
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*PSA* I took care of the duplicate posting, Amber. ;)
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Old 09-14-2009, 10:59 AM   #16  
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Quote:

Originally Posted by Joan BView Post
If you can't change your target audience, go digital. Invest in a color laser printer and you can produce hundreds of cards in much less time and for less cost. Just a thought.
That may be a problem if you are using stamps. Mechanical reproduction is usually not allowed even with companies that have Angel Policies in place.
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Old 09-14-2009, 11:08 AM   #17  
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As for the baskets of cards, you may want to find shops and businesses in your area that will take your cards kind of on consignment.

There is someone who sells her cards at the counter of my hairdresser. The cards are very simple and basic and she charges $2.00 per card and they sell.

I wish you much luck with your venture- if you can find the right audience/market you cold do well.
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Old 09-14-2009, 11:55 AM   #18  
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Lori...thanks so kindly for removing all the duplicate posts...it was like the computer was coughing or something...hiccup maybe...oh well..you did an amazing job. Hugs.
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Old 09-14-2009, 12:22 PM   #19  
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This is something that frustrates me as well, Sophia. I stopped doing craft fairs last year because of that attitude. People wanted high-quality handmade goods at Wal-Mart prices. Uh, no. My time, labor, talent, and expertise are worth a living wage.

My response to "I get x and {big box retailer} for $y less..." was usually something along the lines of "Yes, but {big box retailer} buys from companies who pay their laborers less than a dollar a day."

Things like this get me riled up in the extreme. I understand that people are looking for bargains and everyone is trying to save some cash but I don't work for slave wages - especially for people like them.
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Old 09-14-2009, 01:12 PM   #20  
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I haven't read all the responses yet, but the way I look at it is that someone will pay upward of $5-6 at Hallmark for one of their mass produced "designer" cards. Handmade means a greater investment in time,but the ability to make one of a kind pieces. I would invite them to take a peek at Etsy or Ebay so they can see that you are competitively priced in the world of handmade.
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Old 09-14-2009, 02:17 PM   #21  
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Quote:

Originally Posted by Jeanne SView Post
That may be a problem if you are using stamps. Mechanical reproduction is usually not allowed even with companies that have Angel Policies in place.
No, I didn't mean stamps!! I was thinking of digital designs....
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Old 09-14-2009, 02:34 PM   #22  
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No, I didn't mean stamps!! I was thinking of digital designs....
And there is an announcement of one of the digital designers having a sale. There were 157 designs for 25.00 or something like that. You could literally make hundreds of different cards and sets for very little cost.
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Old 09-14-2009, 04:55 PM   #23  
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Quote:

Originally Posted by Joan BView Post
If you can't change your target audience, go digital. Invest in a color laser printer and you can produce hundreds of cards in much less time and for less cost. Just a thought.
Just keep in mind the cost of your toner & time if you go this route. Toner for my Laser is $450 when I need to replace it. The printer was only $399!
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Old 09-15-2009, 08:27 AM   #24  
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I would agree about looking at different venues for your cards - some thoughts: local spa, coffee shop; always talk with the owner. Usually they will display cards (be prepared for a commission), however, the kind of clientele going to a spa or a gourmet coffee shop is already prepped to pay more than Target. Be sure to have a variety - seasonal (biggies are Valentine's, Christmas), birthday, thinking of you, thank you.
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Old 09-15-2009, 11:48 AM   #25  
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Thanks, everyone for your helpful and gracious input!!
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Old 09-15-2009, 01:12 PM   #26  
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Quote:

Originally Posted by babydal57View Post
Hand-made or home-made can often have negative connotations to many people.

Instead you are selling CUSTOM made, ONE-OF-A-KIND creations. Don't call youself a stamper or a paper crafter. Crafting is something that people do as a hobby. Promote yourself as a textile artist. Sell exclusivity. Sell originality. Sell artistry.

HTH~ I think it's a tough world to do business in no matter what you are selling.

Good luck!
I have been watching and reading this thread since it came up the other day.

I agree with the above so much.

Its all in the marketing - its not homemade - its couture/bespoke/original.

Also don't let yours/ your husbands good intentions undersell you. Make sure you are both on message that the bare minimum for a basic card will be $2. Some men just don't think that way.

If you do an original design for someone, give them your word you won't ever repeat it exactly again.

If you have certain public landmarks in the area, consider taking pictures of them (make certain there aren't any copyright issues) and getting a stamp made and marketing those cards. I know about 20 years ago I sent notecards with pictures of the area we lived in instead of "Christmas cards". Any schools nearby - some people might like school related stationary or to give school related stationary to a teacher/student.

Good Luck - I do think it is tough for all business owners at the moment.
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Old 09-15-2009, 01:19 PM   #27  
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And there is an announcement of one of the digital designers having a sale. There were 157 designs for 25.00 or something like that. You could literally make hundreds of different cards and sets for very little cost.
You will need to check the TOU for digital designs as well, not all items can be used in this manner
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Old 09-15-2009, 01:34 PM   #28  
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Tell her to go back to Target this year and get her Christmas cards !!!!!!!!!!!



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Old 09-15-2009, 01:36 PM   #29  
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I tell you what--tell her to go to Halllmark and get similar cards and see what she pays! I will never forget one Father's Day I bought a card on a whim at Kohl's--$5.99...and I paid it!! For one card!!! That I could have made better! He likes monkeys (what is it with men and monkeys?) and I bought it because I had no monkey stamps. Now I do.
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Old 09-15-2009, 01:39 PM   #30  
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And...my cards this year have 7 layers and no less than 45 embellishments. I would charge $10 for this card. So really, these are gifts to my friends. They can (and some will) frame them. So a little more $$$ just means you care.
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Old 09-15-2009, 01:44 PM   #31  
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I tell you what--tell her to go to Halllmark and get similar cards and see what she pays! I will never forget one Father's Day I bought a card on a whim at Kohl's--$5.99...and I paid it!! For one card!!! That I could have made better! He likes monkeys (what is it with men and monkeys?) and I bought it because I had no monkey stamps. Now I do.
I was going to point out a few monkey stamps if you didn't :mrgreen: and of course there is always punch art.

Also as for the business - are you set on cards only or are you wanting to do more - like party/wedding favors.

Some people do scrapbooks and/or scrapbook pages for others.

You probably have to show people what you do do - don't forget to give everyone a Christmas card with your business details on the back or even a business card inside or a quick note telling everyone how excited you are about your new venture. ;)
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Old 09-15-2009, 01:49 PM   #32  
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What a great thread, and what great advice you've recieved! This is something I've put some thought in to lately as well. I think people are correct in changing the perception of your potential customers by using terms such as artist rather than crafter. I also think it is very important to figure out your target audience as well - someone who buys bulk christmas cards for as little as possible probably isn't it. The problem is how to find the people who understand the value of the unique cards you make. I hope you keep us posted on how you are doing!
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Old 09-15-2009, 01:58 PM   #33  
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What a great thread, and what great advice you've recieved! This is something I've put some thought in to lately as well. I think people are correct in changing the perception of your potential customers by using terms such as artist rather than crafter. I also think it is very important to figure out your target audience as well - someone who buys bulk christmas cards for as little as possible probably isn't it. The problem is how to find the people who understand the value of the unique cards you make. I hope you keep us posted on how you are doing!
So true and I would venture to guess that if you know people that get 2/$1 cards at Dollar Tree - work out your supplies and see if you can match that and make a reasonable profit - call it your cut price line though if you do. ;)
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Old 09-15-2009, 03:23 PM   #34  
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As you can tell by my screen name I am a sewist. Garments, home dec, quilts and art quilts. I have a sort of similar problem. For some reason when people find out that you sew, there is no end to the requests to hem their pants, make slip covers for their patio furniture, and baby quilts to give as gifts. They always say they will pay me - but certainly not what I think my time is worth. Without exception, I have said NO every time. They could not afford me. And I'm not going to spend my precious free time hemming someones stinkin pants!

But I do get special requests for cards at work - and sportchick - I love your idea about putting a basket out in your husbands office. I'm gonna mull that one over.

Great thread - great ideas.
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Old 09-15-2009, 03:35 PM   #35  
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I make cards for companies around Christmas time and I charge $5 each. What can I say, I guess they appreciate what goes into making them! I definately know that the customers I have ARE my target audience, and therefore they are repeat customers that never balk at the price.

I will have the occassional person - or even family member - ask me to make a custom card and when I say it's $5 they nearly pee their pants. "I could buy a card at Hallmark for that much money," is what they say, and I say, "No, you couldn't. You would spend minimum $6 and you would get a flat, boring, mass-produced card that will get thrown in the trash the next day. They'll keep my card forever."

I say it in my head anyway...

My point? Don't sell out. Figure out what your bottom line is and let the cheapo's go to Target. If word gets out you're doing handmade cards for $1 then you're gonna be famous, AND BROKE!! Stay true to yourself.
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Old 09-15-2009, 04:41 PM   #36  
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And...my cards this year have 7 layers and no less than 45 embellishments. I would charge $10 for this card. So really, these are gifts to my friends. They can (and some will) frame them. So a little more $$$ just means you care.
What?
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Old 09-15-2009, 05:47 PM   #37  
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I was going to point out a few monkey stamps if you didn't :mrgreen: and of course there is always punch art.

Also as for the business - are you set on cards only or are you wanting to do more - like party/wedding favors.

Some people do scrapbooks and/or scrapbook pages for others.

You probably have to show people what you do do - don't forget to give everyone a Christmas card with your business details on the back or even a business card inside or a quick note telling everyone how excited you are about your new venture. ;)
This is a great idea to add it to the back of Christmas cards! I always make my own and I just opened an etsy store yesterday! Thanks for the idea!
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Old 09-15-2009, 05:53 PM   #38  
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As you can tell by my screen name I am a sewist. Garments, home dec, quilts and art quilts. I have a sort of similar problem. For some reason when people find out that you sew, there is no end to the requests to hem their pants, make slip covers for their patio furniture, and baby quilts to give as gifts. They always say they will pay me - but certainly not what I think my time is worth. Without exception, I have said NO every time. They could not afford me. And I'm not going to spend my precious free time hemming someones stinkin pants!

But I do get special requests for cards at work - and sportchick - I love your idea about putting a basket out in your husbands office. I'm gonna mull that one over.

Great thread - great ideas.
I can empathize with you - I sewed my own window treatments for my house and have had many people ask me to create theirs...No Way!....I can sew straight lines and 90 degree angles, so I am not at your level, but I do good work, but it is not my first passion..I want to make cards. My FIL is going to put a basket at his school (he's the principal!) My MIL used to make her own jewelry and she would sell out immediately when she sent it up to school. In fact, she could not keep up with the demand. I have 20 cards ready to send to him tomorrow! I am hoping they pounce on my cards like they did her jewelry!
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Old 09-16-2009, 04:54 AM   #39  
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And...my cards this year have 7 layers and no less than 45 embellishments. I would charge $10 for this card. So really, these are gifts to my friends. They can (and some will) frame them. So a little more $$$ just means you care.
May I please see these amazing sounding cards?

Anne
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Old 09-16-2009, 05:07 AM   #40  
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I can empathize with you - I sewed my own window treatments for my house and have had many people ask me to create theirs...No Way!....I can sew straight lines and 90 degree angles, so I am not at your level, but I do good work, but it is not my first passion..I want to make cards. My FIL is going to put a basket at his school (he's the principal!) My MIL used to make her own jewelry and she would sell out immediately when she sent it up to school. In fact, she could not keep up with the demand. I have 20 cards ready to send to him tomorrow! I am hoping they pounce on my cards like they did her jewelry!
I hear you - I'm quite happy to sew for myself. I can live with my mistakes. I don't like sewing for anyone else as I don't know what their "mistake standard" is. Heck I used to sew costumes for a Theatre Department and if it couldn't be seen past the 3rd row it went on stage because of time constraints normally.
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