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Mar 30, 2009 
The first time I was asked by a potential client to make $5 gifts I had to hold back a laugh.
Was she kidding? There was no way I could imagine making a profit from $5 gifts, even if she did want to order 100 of them.
If you haven’t already encountered the client who wants low cost gifts–under $25–you will.
Of course you have the choice of turning away such orders or referring them to others.
Many basketeers set a minimum such as $25, and don’t offer anything for less.
By dismissing low-cost gifts, however, especially during tough economic times, you will turn away many corporate clients looking for large quantity orders for special events, conventions, giveaways, tokens and more,
If you decide to provide low-cost gifts, how will you possibly satisfy such customer demands and make profits at the same time? This week’s blog will be devoted to answering this question.
1. Establish a pricing formula that allows you to profit.
Many basketeers triple the total wholesale costs to determine the retail price of a standard gift basket. A $25 gift basket, for example, would cost no more than $8.33 in materials and contents.
For gifts under $8, however, I adjust my formula to doubling the total cost, since for these I use stand-alones that require little to no labor. So, for a $5 gift, for example, I’d locate a gift that cost no more than $2.50.
2. Consider the quantity before you accept the order. An order for 1,000 gifts may be worth your time more than three $5 gifts. This only works, of course, if you can provide the large orders with little to no labor.
3. Become a shrewd shopper and a clever designer so you can find gift items that require little to no labor on your part.
Short-cuts, low labor and high profits can be yours by considering
