A peek at what we make
I received a testing quote today telling me my $15 toy to the left will cost me $150 to test, per batch. I get maybe 3 or 4 ‘batches’ from the wood I use, so let’s do some quick math here. Oh don’t worry, I’ll do the math part- you just follow along.
Let’s say I make 5 batches every 6 months, and that I am able to get 4 sets per batch. That’s 20 sets of the toy, but each new batch has to have 1 set sent out for testing, so that is really 15 ‘for sale’ sets, grossing $225.
Each of those 5 batches has 1 set of the toy sent for testing at $150 per test. The total cost for testing 5 batches comes to $750.
$225 in gross sales – $750 in testing – $75 lost sales from the 5 toys sent for testing = -$600
Of course, it would actually be higher than that since the $225 is the gross amount, not including material and labor.The rough breakdown on testing was $50 per component. Less than what some people are seeing, but by no means cheap, or feasible. Let’s see what it would cost me to test a biplane.
The biplane has the body, the wing assembly & propeller, 2 different types of wood for the engine plus buttons, and the landing gear assembly. In total, there are 9 different pieces that would need testing, assuming all like-types of wood were able to come from the same piece.
That would be $450 in testing for a $75 toy.
‘Absurd’ is really the best way I can describe this.