Made in Sweden?

Photo of product labels.
Made in Sweden vs. Swedish design (zoom image).

I still wasn’t sure if Gearfix eventually had to be manufactured in Asia. So I chose to just claim the value of ”Swedish design”.

Saving by spending
I had an order for ”only” a few thousand units. But it was much more economic to buy the printed material in bulk. For a little more money, I ordered 20.000 extra paper labels with the print -”Swedish design”. This also turned out to be a good move when the drunk & brawling packaging service started to trash my stuff.

Limited edition
I figured that if my gadget had to be manufactured in Asia, the labels would still be usable. How ever, the boxes were made in a very limited edition and got the more prestigious print -”Made in Sweden”.

The price is right. Right?

Donkey ass
I was an Ass at this!

A big issue for me was to figure out how much I could charge the retailers for my drill bit holder. In lack of good advice I begun a trial and error strategy that failed miserably!

I know nothing
The production cost was easy to get grips on. My manufacturer was very clear on what he needed to deliver the gadget. On the other hand I was clueless what the retailers margins were. I heard that some jewellers had an average profit over 1.000% and the local grocery store maby had about 50%.

My buddy’s advice
Earlier a Big shot buddy was nice enough to gave me some free advice and helped me out with some business strategy. Among many things, he suggested to focus on how much profit I needed and we came up with 25% to keep any sneaky bastards away.

My advisor’s advice
I also had a professional business counsellor who skilfully avoided answering this pricey question. It later turned out he was a complete bastard.

A wheel of un-fortune.
Spin the wheel or take my advice?

Excel* calculations
Starting from around me having 25% profit and the retailer around 300% I typed in many different scenarios. If I sold over 100 000 units it would just cover my expenses. Was that good or bad? It took over a year before I found someone that told me my calculations were fucked up.

Overpriced
I had no money, hardly any income and needed a painful loan to start the production. So the first order had to cover most of the expenses and I set the price stupendously high. This made the retailer only a tiny profit but they were really kind to accept. Since this ”very high” price for my drill bit holder worked for them I should have been able to stop myself from going on a crazy rampage later on.

*Actually I use Open Office.

Follow the bread crumb trail

Illustration from Martin Wande.
Back tracing stuff that happened two years ago isn’t easy.

I hope it won’t confuse you too much that some events might lag a bit. The next few posts will be jumbled together in an unseeingly logical time travelling order.

Retro blog
This blog is retrospective and it’s not that easy getting everything in a chronological order. My Teflon brain isn’t helping but I managed to sketch up a nice illustration of what’s going on. I knew it would be impossible for me too keep every post in correct order so I try to make all of them able to stand alone with handy links to direct the new reader to relevant information.

Sicko

Sick illustration
I’m a sick individual.

Standing knee deep in mucus made me realize it was time for a break.

The family is consumed by snot and I can’t keep up the posting right now. You’ll notice when I’m back on track again.