The ABPC is happy to announce the fifth year of its ‘Commercial Prize’, open this year to all.
to encourage entrants to think, in addition to their creative design, of the commercial reality of the marketplace; and
to encourage the design of a piece or pieces that a pewter manufacturer wants to acquire the rights to in order to make and sell it into the marketplace.
With its Prize for the entry with the most Commercial possibilities, the ABPC is – while not wishing to exclude startling entries at the luxury end – aiming at a wide popular, market.
More information about how the judges will assess entries is available on request
There are many pricing models; all have the objective of letting a manufacturer work out what he has to charge for a piece in order to make a profit. For the sake of illustration, take a very rough model, and say that: 30% of the wholesale price goes to cover the cost of raw materials; 30% is for the cost of staff; 30% is for overheads: premises, sales and marketing, royalties, etc; and what is left, 10%, is the manufacturer’s profit. Some manufacturers work to a higher profit percentage; others have different staff and overhead cost ratios, but this is intended as a guideline
The price of the raw material, tin, fluctuates, but let us take it as £20 per kilo. An item that contained 100gms of pewter would, on the above formula, have a wholesale value of £6.60 (Materials: £2; staff £2; overheads £2, plus 60p profit).
As a very rough guide, you should expect the retail price to be double that plus 20% VAT. So on the above example, the retail price would be £15.84 (£6.60 x 2 = £13.20 plus VAT of £2.40). A retailer might round that price down to £15.80, or more likely, up to £15.99!
Now, of course, the more difficult the piece is to make, the higher will be the development cost and the staff cost, and the lower the profit. And whether the item eventually does make a profit for the manufacturer will depend on whether it touches the spot with the public – and sells in sufficient quantities.
For the purposes of the Commercial Prize, limits are:
1.The item should be made principally of pewter;
2.It can be made using any method of manufacture, from sheet metal, by spinning or otherwise; or by casting, whether centrifugal, gravity or drop;
3.The pewter should conform to Standard EN611-1, with a minimum tin content of 92%;
4.It should not require material further development costs to make it ready for production;
5.The preferred guide weight will be no more than 250gms of pewter; with a maximum of 350 grams of pewter;
6.The likely retail price should not exceed £50; and
7.The item should be likely, in the judges’ estimation, to have popular appeal; which means a sales potential of at least 200 items.
The judges will consider all entries to Pewter Live and there is no need to enter an item specifically for the ABPC Commercial Prize.
The judges’ decision will be final; and they reserve the right not to make an award if they feel there is no entry with a reasonable chance of succeeding commercially.