If your fashion brand feels stuck—like you’re constantly putting in the work but not seeing the growth you deserve—the issue isn’t your brand's ethos or your price point. Your products aren't 'too expensive' and the algorithm isn't against you. It’s your overall pricing strategy.
The 2.2 rule is my go-to solution for growth, but it’s not just about multiplying numbers—it’s about knowing your value and building a buffer for sustainable growth.
If you don't get this right from the beginning, you won't be able to sustainably scale your ethical, sustainable, handmade or slow fashion brand and you'll spend years chasing your tail wondering why you're not growing - it's a cold hard fact.
If, on the other hand, you follow my three-step system for pricing, you'll be able to price for profit and finally take your eco fashion brand to $10k+ months.
Step 1: Know your true cost price.
This is the step that many brands either overlook or underestimate. Your cost price isn’t just about the direct expense of making your pieces like the manufacturing labour or the fabrics. It should include every hidden cost that goes into creating your products—think thread, brand labels, supplier shipping costs, even your own packaging. If you’re not accounting for these details, you’re setting yourself up for a rude shock when those bills start piling up. When I work with brands, the first thing we do is drill down into all of these costs, so there are no surprises. The more accurate your starting number, the more confident you can be in your next pricing moves.
A good rule of thumb is to add a percentage to account for fluctuating costs too—whether it’s material shortages or slight increases in manufacturing fees. This way, your pricing isn’t reactive; it’s prepared for the unexpected. If you’ve never calculated this, or you’re unsure whether you’ve done it correctly, I can guide you through the process to ensure that you’re not leaving money on the table.
Step 2: Apply the 2.2 rule for wholesale pricing.
Now that you have an accurate cost price, it’s time to use the 2.2 rule. Multiply your cost price by 2.2 to determine your wholesale price. This formula isn't just random math—it’s designed to give you a cushion for growth. This buffer can cover your operational costs, help you pay yourself a consistent wage, and enable you to invest in marketing without feeling like you’re constantly stretching every dollar.
For instance, if your true cost price is $100, multiplying it by 2.2 gives you a wholesale price of $220. This markup means you’re not only covering costs but also ensuring you can support your business as it grows. I’ve seen too many brands dive into wholesale without understanding this step, leading to razor-thin margins and unnecessary financial stress. My mentoring process helps brands avoid these pitfalls and ensures they’re ready for the complexities of wholesaling.
Step 3: Set your retail price with scalability in mind.
Finally, it’s time to determine your RRP (Recommended Retail Price). Take your wholesale price and multiply it again by 2.2. This step allows for a retail margin that keeps your pricing competitive while giving your brand room to scale. It ensures that, as you grow, you have the financial space to develop new products, expand your team, and invest in the future of your brand - which includes paid advertising.
For example, if your wholesale price is $220, multiplying by 2.2 results in an RRP of $484, which can be rounded to $489 for a cleaner price tag. This final figure isn’t just a number; it’s a strategy. It positions your brand at a value that both reflects your worth and supports sustainable growth.
This 3-step system is about building a brand that’s designed to last. It gives you the financial stability to reinvest in your business, handle market fluctuations, and pay yourself fairly. After all, you're part of the 'ethical fashion' movement which includes paying yourself right? This system is a strategic approach that ensures you’re not cutting corners when it comes to profitability. More importantly, it helps you avoid the common mistakes that can prevent small brands from ever becoming industry leaders.
If this all feels a bit overwhelming, don’t worry—you’re not alone. Many brands struggle to nail down a pricing strategy that works for them, but the difference between staying stuck and scaling up often comes down to having the right guidance, and I love being that for sustainable fashion brands.
I’ve worked with hundreds of brands who are eager to grow but lack the right pricing framework. With my tailored approach, I’ll help you break down each step, ensure you’re working with accurate numbers, and guide you through the transition to wholesale. We’ll craft a pricing strategy that aligns with your brand’s values and goals, setting you up for long-term success.
If you're ready to stop guessing and start growing, reach out to me here. Let’s make sure your pricing covers costs and sets you up for true growth.
Claire x
