Pricing?

[mikevirok]

Ok, so what exactly is the general range for pricing a guitar these days?

[doug]

Ok, so what exactly is the general range for pricing a guitar these days?

For real? Been shopping for a car lately? What's the going rate for one of those?

[Prostheta]

If you're going to charge a fee for a custom build, you should already have enough experience to understand the time, labour and least of all the material costs plus margin on the top of that for noodles and rice.

Expand on the question because it's very vague.

[mikevirok]

Ok, so maybe I wasn't too clear to begin with. My concerns are based around an accurate pricing of a guitar for an interested party. After considering the price of the parts and the amount of time spent on a build, plus any special appointments that were included in the build, what should be a "base price" that one could start their pricing at?

I know that many of you are going to chime in and comment on my post as "stupid" or "vague", but what I am trying to do is establish a reasonable system for pricing an instrument as a new "not-yet established" builder. No, I don't have enough experience in the building field to have an immediate sense of "this guitar is worth $2000" or "this one is worth $3000". Think of it from a painter or gallery artist's standpoint. What makes a painting worth $2000 vs one that is worth $3000 by the same artist (other than size of the canvass).

So, is it outrageous to price a custom built guitar at $2000 if a builder is just beginning?

[Jon]

I would say $2000 would be a bit much for just starting out. I have no idea where you're at now as a luthier, though. If I'm not mistaken, you just became a certified luthier away from home. Do you even have a workshop or any powertools yet? I guess you have all that figured out though! But definitely look around at custom building sites for pricing ballparks.

Don't expect to make a living off of being a luthier until you're very well accomplished.

[CrazyManAndy]

So, is it outrageous to price a custom built guitar at $2000 if a builder is just beginning?

Not necessarily, IMHO. But you kind of need to define "just beginning". What exactly is your experience?

Honestly, it all comes down to the end results. I've seen first timers build some of the most amazing instruments I've ever seen. I've also seen a lot of first timers who's builds were either poor or fair at best.

If you're confident you can make a quality instrument, go for it; however, I wouldn't start running around assembling a client list with only one or two builds under my belt.

But that's just the ramblings of a...well...rambler!

CMA

(Update: I just noticed your builds/blog. That is some top notch work and you seem to be very knowledgeable and capable of producing a great guitar. I don't think $2000 is too much for the quality of work you do.)

Edited July 15, 2007 by CrazyManAndy

[mikevirok]

I would say $2000 would be a bit much for just starting out. I have no idea where you're at now as a luthier, though. If I'm not mistaken, you just became a certified luthier away from home. Do you even have a workshop or any powertools yet? I guess you have all that figured out though! But definitely look around at custom building sites for pricing ballparks.

Don't expect to make a living off of being a luthier until you're very well accomplished.

While getting certified "away from home", I built 4 guitars. Those are the instruments I am attempting to price. No I don't have a fully functioning workshop or powertools, but my goal is to sell a couple of my builds and use that money towards the larger tools needed to build more. I also do repairs and will funnel that income to more shop tools.

As far as making a living off of being a luthier, I have my full time job for the living aspect. The guitars are my joy in life, and I want my art to be self sustaining. Money put into the guitars (once sold) will return and fund future builds. I'm not building and selling to buy a home or quit my job immediately. I'm building and selling to continue building more guitars without putting what I earn at my normal job into it.

[Jon]

Then it sounds like you've got your head on your shoulders, you're a step ahead of most of us.

I have no idea what you'd price your guitars that you've built at, $1200-1500 sounds very reasonable.

[jmrentis]

I'm going with Jon on those prices and even those might be higher end. I can honestly say, I think your guitars are freakin wicked as all hell. If I hadn't started doing my own and I had the money I would probably try to buy one of yours. I really truly think those things are just wicked, just a personal preference thing and I think that they could sell very well.

The problem with the pricing of those is they are not build to a customers wishes exactly. If someone asked you to build one of those to exact specifications, I think you could charge like other people said $2000 and up, but being that these are premade guitars from an unestablished builder you might not be able to charge what you want, even though you are now licensed you still don't have a name or feedback in the luthier world.

So you probably won't be able to charge what you want, mainly, for those two reason, one: that these aren't custom built(well not customer built) guitars, and two: people have no guarantee your work will be that good or be durable. The second reason just comes with time and feedback and maybe setup a way to gain feedback from the people that buy so you can use this for future sales. And once you gain some money from your sales start on buying yourself some tools and setup the workshop, so you can start on more including some for customers, just make sure you have everything you need to do it in a reasonable amount of time as the ones you built at the school were and on't screw yourself by taking on too many at a time without giving telling the customer it will be a while, that happens so often.

Well just some thoughts of mine which could be totally off, I wish you the best of luck with everything. I think you could probably do well if you do everything right. I really like those guitars, both wood choices and designs/themes. J

[gibsonsg26]

do you have a customer lined up or are you planning on selling it online or something else?

[Mattia]

Assuming you're comfortable with the quality you deliver (ie, you can match or beat guitars in the price class you're shooting for on fit and finish, and particularly fretwork), three times the material cost is a reasonable place to start (assuming fairly 'standard', but good quality - brand - hardware and pickups and the like). Which, for most of my builds, puts me in the 1200-1500 bracket. Anything that adds a lot of hours (inlay, f'r instance) can add a hefty amount to the price tag, if your work is good enough.

Go to guitar stores. Look at the high-end stuff. Realize that at least 30% of that price tag is down to the name on the headstock, and that if you want to sell a guitar at that price it needs to be significantly better than those branded intruments, or at least different enough for a customer to be willing to pay for it (ie, how custom is custom?).

Note: to date, I've been selling to friends, pretty much, generally at cost+a bit extra for labour. I'm after a self-sustaining hobby, though, not a carreer.

[WezV]

I'm with Mattia, 3x what it cost to build is a good general price to aim for. I wouldnt charge that much yet because a lot of the guitarists will not spend that much on something that isnt a famous brand - whats more important is getting guitars out into the world and being played in bands. Then people will see your work and hopefully be willing to pay the higer price they deserve.

Unfortunately that probably means you are going to have to sell of a few guitars below the ideal price as 'reputation builders' - just dont undersell youself too much because people will always expect them cheap if you do. Its a fine line

I have purposely let a few guitars go at well below the ideal price in situations where i know the instrument will get exposure - but whatever you charge, always make sure your customers are happy with the deal they get. Then they will tell other people about you!!!!

[erikbojerik]

Although you say you don't want to give up your day job, it sounds to me like you forgot to say "yet". I'm guessing here that you'd like this to eventually become something bigger than a self-sustaining hobby where you don't keep and use anything that you build.

You can certainly keep your hobby self-sustaining without having to sell completed instruments, if that's all you want to do.

[doug]

You certainly make nice looking stuff so whoever gets one of those beauties should be very happy. Like the others have said, be prepared to sell them at a discount just to begin building a customer base. Hobby or full time doen't matter (well some people are jerks and they might take issue with part time) when you're creating works of art people want. Use the $$ for tools. All of it.

It took me a while to figure out what to charge for necks. After a while I just settled on something and called it good. I just want to make a great product at an affordable price.

-Doug

[mikevirok]

Thanks for all of the advice guys. It's really helping me figure this out (especially since I'm fresh into the guitar building/repairing world). I figured that $1000-$1250 would be alright for my currently completed instruments. When I build to a customer's specs in the future, I'm sure that price range would change. Once established, I do plan on giving up my day job and doing this full time (along with repairs to cover other aspects of my life). I'm still trying to figure everything out. Being that I live in an apartment here in New Jersey doesn't lend much of a favorable situation to build where I live. I need to find some workshop space and establish a building area so that I can work on marketable, custom builds for future patrons.

Edited July 15, 2007 by mikevirok