Ingredients
Skills/Expertise
Packaging
Shipping
Labor
Overhead
Insurance
Advertising
Profit
When you consider these factors, prices don't strike me as being overly high. And indeed, when compared to smoking, truly quite a bargain. Just my $.02.
Enjoy!
Let's expand on these a little;
-Ingredients
Each juice may use ingredients from a number of different vendors which ultimately costs more for shipping. Sometimes ingredients are made in house, consuming power, requiring specialized equipment, and requiring time.
-Skills/Expertise
This takes lots of trial and error to gain, the value here is different for every mixer, but let's assume its the same as their time and ex pence on equipment, supplies, and ingredients used to develop good recipes.
-Packaging
The bottles, the stickers, the inks to print them, the printer and computer to design them, the electricity to run them, the space to house them. The shipping of said bottles, the boxes in which to pack them, all cost money. If purchased in bulk storage space is another cost to add in.
-Shipping
This is on the consumer, and is what it is.
-Labor
This is the time the person spends mixing, bottling, packing, taking orders, marketing, and ultimately shipping your order. This also is going to include time spent developing new recipes and flavors, dealing with customer satisfaction issues, ordering supplies, keeping the work area clean, what have you.
-Overhead
Much of overhead is the expansions I'm covering here, but it can include the cost of an employee or several, the facility, loan interest, work station equipment, safety gear, etc.
-Insurance
You would be silly not to invest in this component of doing business.
-Advertising
You have to get the word out to consumers, paid advertisements work fine and do work while your making product, or you can attack social media which requires an internet connection and time.
-Sales Tools
While not mentioned in the above post, taking credit cards is not free, there is a cost to the vendor to use them. Web hosting for a web page isn't free either.
-Profit
This is the mixers income, not how much he or she gets to put into savings at the end of the day. If you figure a fair living wage is $20 an hour for a single person and they spend 1 hour packing and shipping, 1 hour with orders and customer service, 1 hour on ordering supplies and doing other non juice making tasks they are left with 5 hours to make juice at maybe a bottle every 4 minutes, thats 75 bottles a day. Or $2.13 per bottle income, on which must be paid state and federal taxes.
Think it'll get you rich mixing up some juice at home, try doing it for a living, quit your job and mix away.
Maurice
It's basic business man, it's not just the cost of the ingredients but all the other aspects that everyone has mentioned in this thread.
