Discounts and taxes

I have been some what successful in the past telling customers that I don't discount my work and I do charge sales tax. Not to say that I haven't given any discounts (especially on older work) but I try not to use a discount to close the sale. Instead I try to sell the value of the art and artist, most times this works. I have been told by many customers that I am the "only" one charging tax, or not making "deals". For me making a deal is not a comfortable way of doing business and once you give someone a discount they want a bigger one next time because they are a return customer. I wonder what the "norm" among artists is. I am heading into Chicago next week where many ask for discounts and no tax and am wondering if I should raise my prices and give "discounts" or just stick to my guns. How do you as an artist handle these situations?
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  • I hear what you're saying about people complimenting your work. Sometimes I'm tempted to put out a "tip" jar!
    It depends on how busy I am and how I'm feeling when I get one of these compliments. If there is no action in my booth sometimes I start telling my story and process to the person. It seems that people are herding animals and like to gather where they see other people.
    Hope you get back to the good old soon.
  • Deals everyone wants a deal. I always smile and say yes if you purchase more then one piece of jewelry. Then...I always add tax, I was told at AA from a customer that they don't charge tax at the flea market (from someone that lives in South Fla. need I say more? I live in S. Fla. so I am allowed to say that) I don't make up the rules here the government does I am just following the plan, and for me that is big because I don't like to follow plans. I had to take a deep breath, turn my head, roll my eyes and calmly tell her that this wasn't a flea market and asked her if she insisted on not paying sales tax to the cashier at Publix? We are playing by the same government rules. This stopped her in her tracks, she payed, not my finest moment but it was 103 heat index my fan just broke, my iced green hadn't arrived from Starbucks and I was very cranky. The show on the whole was good for me not like past years but the new good was good. No more living in the past of what used to be. I am trying to just enjoy the new good. Damn I miss the old good. Sometimes I just want to teach a class to customers on what not to ask the artist or what not to do at art shows. Sometimes they just don't see the big picture. If I hear "I love it but don't have any money LOL" I think I will lose it. Just smile and walk on by please, let my mind wonder about why you didn't stop I might need something to do. Sounds like I have been doing this for a living for over 20 years, which I have 23 years to be exact. I do love my customers, other artists, going to a new town and learning the best places for a great dinner and best of all dirty martini with blue cheese stuffed olives. I love doing shows the good, bad and ugly of it, shows are my social life the rest of the time I am working. Beats working for someone else, did that, hope to never do that again.
  • Another good idea.
  • Taxes - we include the tax in the price, and then just pay it all in one lump sum whenever we file with the respective state. I tell customers that the tax is included and even write that on the credit card receipt (when they pay that way).
  • LOL!
  • A customer asked us "Can you do any better on the price?" Our reply: "Yes, I think I could, but I am going to leave it down where it is for now."
  • That reminds me of a situation a couple of years ago....a very obnoxious woman came into my booth. She wanted a necklace, but didn't want to pay the price I had on it. She tried to 'haggle' with me (and I was polite, the first time). The second time she came into the booth, she was a bit more forceful about getting a discount. I turned away from her and assisted another person who walked into my booth. The third time, she sent her husband in, I didn't 'cave'--I still was very polite. The forth time, she came in, with no attitude change--so, I had the attitude change, when she demanded "is this the best price you can give me?", I said "no-it isn't" I then doubled the price--I told her that that was the 'best price'---she bought the necklace at the original price. Thank goodness that has never happened since. It felt very uncomfortable. But, in the end, I'm glad I stuck to my professional attitude ;-) Ann Marie
  • Thanks Anne Marie and Barbara for your input, really good stuff. Hearing from other artists who also value their work gives me the confidence to stick to my guns. I did have one customer walk away because I didn't give him a discount. He came back three times that day to see if my mind had changed. Eventually he came back to pay the full price but by that time someone had bought the piece. His wife was livid, I think he spent a long time in the dog house!
  • The question of a discount for a purchase of more than 1 piece always brings out the smart _ss in me. Luckily I get a hold of myself and politely explain that I make each piece one at a time with out the benefit of a discount. If they persist I explain that if I were ordering this stuff from China I would be glad to discount it and pick up the phone to order more. Other discount requests get met with "you are asking me to discount my labor because I can't discount the cost of materials. That being said, if I am absolutely sure that a discount will make the sale I take control of the dollar amount. I never let the customer tell me how much they would consider an appropriate discount. If the sale is in the hundreds, I hem & haw then offer them a 3 or 4 dollar discount. I do not say another word until the customer responds. I stand there and look them in the eye until they respond. Usually the sale is made without the 3 or 4 dollar discount. On occasion I have to give up the discount but I don't loose any sleep over it.
  • Hello Jackie,
    What I learned long ago, was to say when they come to 'check out'; "Is there anything else you would love to have? (that usually gets a chuckle, & a lighter mood) They'll say 'no', then I respond "That'll be 'x' dollars, plus tax". Very rarely, (and I think that that is because of my 'light & jovial' manner at check out), does any one ever complain. If they do, I tell them that that is (whatever state I am in)--it's the states' policy. If they insist, I then say that I don't want to get into trouble with the IRS. By then, the topic is dropped and the item is paid for.
    As for discounts, my husband gave me a great idea; when they are purchasing a necklace, I tell them that I will add the earrings at no expense (not for 'free'--that cheapens it). Most of my necklaces have a pair already with them, and I have already factored in that cost. So, everybody is a winner. If they say that they don't wear earrings, I suggest that the earrings would make a great 'thinking of you' gift to a friend. With your product, is there a tiny piece of glass (like a mere flattened marble---you could call it a lucky rubbing glass stone---I have one, and it makes a great 'worry' stone)--that you could give them as a 'purchase' gift? And, maybe, only people who purchase, can have that 'gift'.Your version of my 'earrings' gift......
    Sorry if I ran on a bit. This is my first post.......
    As you may have guessed, I am a jeweler. I carve fine silver and make woven bead elements.
    Ann Marie
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