Honest prices
We want to be transparent about the actual costs of our products. We have opted out of traditional retail and sell directly to you. This way, you get good quality at a lower price.
We've all been there: You feel like you've probably overpaid for a product from a big brand, and as you leave the store, you wonder how much it actually cost to make. Does the cost include marketing, expensive locations, and advertising as much as the actual product? And how much of what you paid actually goes to those who make the product, rather than distributors, sales agents, and retailers?
Honest prices = price transparency
Price transparency means that as a company, we are open to you as a consumer about the true costs associated with manufacturing our product, including how much we earn from the sale price.
As a baseline, we operate with a margin rate (MR) of 55% on our products. The margin rate shows how much of the product's sale price covers fixed costs. The margin rate is calculated by subtracting the manufacturing price from the sale price and dividing it by the sale price.
We use the profit to cover our costs for:
- Product logistics (packaging, etc.)
- Storage
- Office/showroom
- Salaries
- Marketing: website, social media, advertising
- Investment in developing new products
When you see our products on the shop, you can see how much they cost to produce.
(Image of product - image of production cost - image of sale price)
Direct sales
We sell our products directly to you. There are no costly intermediaries or retailers between our product and your home. Typically, wholesalers earn 30% and retailers earn 50% on the product. By selling directly, you as a customer save money, and we as the manufacturer do not compromise on quality. It's a pure win-win situation.
Danish prices
Our prices are challenged by our desire to produce locally in Denmark. But producing locally gives us:
- High quality
- Low environmental impact. Traditionally, products are made in Asia and transported to Denmark before distribution and sale.
- Fast and simple production - we don't have to wait for it to be shipped here from Asia.
- Customized production - we don't have to overproduce but can produce in smaller batch sizes due to proximity to manufacturers.
Additionally, local production helps maintain jobs in Denmark. Production and development go hand in hand. If there is no development near production, the ability to develop for production is lost. We cannot survive on knowledge-based jobs alone.
