Leather_nube
One of the Regulars
- Messages
- 270
- Location
- EU mainland
This.Hi folks,
Just dropping a post to explain the reasons for our pricing restructure.
For many years, we’ve worked exceptionally hard to keep our prices as accessible as possible, even as the costs of materials, labour, and operations have continued to rise. We’ve always charged what we think is fair, not what we can get away with. However, as a company that prides itself on uncompromising quality, we reached a point where maintaining our previous pricing structure was no longer sustainable without sacrificing the very elements that make our jackets exceptional – elements that we refuse to make our jackets and run our business without.
Guided by that same philosophy, we’ve done our best to limit price increases over the last few years when prices have sky-rocketed around us and this has made this adjustment larger than it would have been had we spread this out more evenly like many of our competitors have (which was a costly mistake on our part).
From our research, the average ballpark base price of our competitors is now around the £1,250-£1,300 mark (some exceedingly higher) with relatively high customisation upcharges (or limited options). Also notably, most of our UK counterparts don’t remove UK sales tax from their prices for international purchases while we have and still do. At the same time, we were still maintaining an average base price point of around £750 ex VAT with comparatively low customisation upcharges. Our material, wage and overheads costs are at least the same and in many cases exceed those of other manufacturers in our market, as is the case with the quality of our final product… and yet we have been selling our jackets at a price point around 40% lower than the average for our market.
Even after our recent price adjustment, we remain amongst the most accessibly priced within our market - our average base price ex VAT is now £825-£925. Some styles are more depending on their manufacturing complexity, but the majority of our popular styles fall within that bracket.
Regarding the Chromexcel Horsehide surcharge, horsehide and especially that of the quality needed for Chromexcel which is carefully graded and selected and only skins of a certain quality make the grade for Chrxl,skins that don't make the grade are used for other Horween products. Horween have been working very hard to secure a regular supply of raw hides but by its nature it is far rarer and more difficult to manage than any of our other leathers and the new surcharge is to cover the higher costs we absorb in sourcing/managing it. We also face increasing costs in importing from the US.
Chromexcel Steerhide is still available as a default with no upcharge as its much more readily available and easy for us to manage.
We hope this explains why this price increase has been higher than we’ve done in previous years and explains that this isn’t a greedy cash grab, it’s an absolutely necessary adjustment to align our prices with our costs and continue to sustain our business. It isn’t an exaggeration to say that the level of price difference and subsequent direction we were headed was no longer viable and we really have done our best to maintain the accessible price point that we’re so proud to have offered our customers for so many years.