EP 032 | Pricing for Profit in Your Interior Design Business with Veronica Solomon

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Do markups make you uncomfortable?

Many interior designers struggle with pricing, profitability, and charging appropriately for the value they deliver. In this episode, Kimberley Seldon speaks with Veronica Solomon about shifting the conversation from markups to margins and developing a healthier, more confident approach to pricing.

For interior designers who want to increase profitability without apologizing for their fees, this episode offers practical strategies for pricing products and services in a way that supports a sustainable business.

In this episode, we learn:
• A more effective way to think about pricing, margins, and profitability
• Practical strategies for pricing goods and services with confidence
• How healthy margins improve profitability on products and labor
• Why profitability is essential to delivering a great client experience
• How confidence impacts pricing conversations and business growth
• Why successful designers charge for the value they provide, not just the products they sell

Take Aways

Veronica’s entire business turned around when she tapped into her core confidence. She suggests role playing and even talking to yourself in front of the mirror to practice asking for money or reading your contract without flinching. It gets easier over time.

Veronica’s contract states:

Merchandise to be purchased by Client from Designer will be specified in a written “Furniture Proposal” prepared by Designer and submitted in each instance to Client for approval. Each proposal will describe the item and its specified price to Client. The specified price of each item shall be the manufacturer’s suggested retail price (MSRP) less thirty five percent (35%) of any discount that we receive, where the discount is greater than twenty (20%), plus any applicable delivery, insurance, handling charges and sales tax. We cannot guarantee the lowest prices for the same products, neither are we obligated to research the lowest prices or price match sales, markdowns or discounts available elsewhere. We make every attempt to provide you with the best pricing based on our costs. No item can be ordered by Designer until the Proposal has been approved by Client, in writing, and returned to Designer with the required initial payment as set forth in the Proposal. The required deposit is equal to seventy five percent (75%) of total budget. The balance of the Specified Price, together with delivery and insurance charges and applicable taxes, is payable when the item is ready for delivery to and/or installation at project site, or to a third-party for further work upon rendition of our invoice.  Proposals for fabrics, wallpaper, accessories, antiques and items purchased at retail stores require full payment at time of signed Proposal, and are subject to an additional $50 per hour in design fees for the procurement and project management phase. Proposals that have been approved by Client in writing are non-cancelable unless stated otherwise or agreed to in writing by Designer.

An example of how Veronica calculates:

Sofa MSRP is                          $1200
Designer Net Cost                 $  500
Designer Discount                 $  700
65% of Discount of $700      $  455
35% of Discount amount      $  245

Cost to Client – Net Cost plus 65% of discount $500 + $455 = $955

Client pays $955 for sofa and saves $245.

Designer makes $455