Tag Archive | handbags

How Much Does It Cost to Make a Handbag in Asia?

It depends on the bag and the quantity. You also need to take into consideration how labor intensive is the bag? A sports bag is not as complex to make as a box bag. The Chinese don’t consider 1000-5000 bags a big quantity.

I developed a sports bag that I wanted to market. This was a sling bag prototype, that I was able to get a patent on. I could only afford small quantities.

To get 1000 bags made was going to cost me $10.72 per bag. If I could have afforded to purchase 100,000 bags my price would have been 5.16 per bag. Because I couldn’t get the price down to $4 a bag, I couldn’t compete with the other backpack and sling bag makers. Stores needed to be able to offer the bag at no more then $29.95.

There only one way to find out! Contact a US based manufacturer. Send your sample or your pattern to them. You can send the pattern via a PDF file. Ask for a quote! In most cases you’ll get and answer in 48 hours. If you feel nervous about sending out your designs. It’s part of the game call trust.There not interested in your design, they don’t have orders for it!  Second point is this, most US manufactures have a base in China!  So they can give the overseas price.

You also need to take into account which Asian country are you talking about. You can get stuff done in Vietnam cheaper then mainland China. The difference maybe quality. The world is in search of the cheapest labor force, even the Chinese. As there labor force grows and expects more, the Chinese invest in cheap labor in Africa.


Part 2: The Advantages and Disadvantages of Overseas Production

As you can see I can be long winded,so let’s try to get back to the subject which is overseas production vs US  production. As already stated I’m a strong supporter for the latter. I’m only speaking of this in terms of accessory designers starting out with nothing but a dream. I’m only speak about what I know.

My main reasoning, control, quality, better turn around time, and a reasonable amount of flexible. For those reason I’m an avid support of US manufactured products. I also think there’s a great market for  small US manufactures to exploit. They have the capability and capacity to compete on so many different levels.

It will be hard to compete  with labor cost, but we can compete with the other factors that are important to getting your products to market.

If we highlighted these advantages, we may not be able to get all of the manufacturing back. However we could regain some manufacturing and stem the tide of others who succumb everyday to overseas pressure.

  • Shorter turn around time. Orders can be place 30 – 60 days, sometimes in as little as 2 weeks.. Instead of 60 days to  6 months depending on the size of the order overseas.
  • It allows stores to purchase less and yet maintain inventories. Reducing initial capital expenditure  and keep more cash on hand. Resulting in lower inventories. Lower inventories could mean higher profits. No need for constantly reducing the price of your products. I’m going to give you the perfect example below.
  • It allows for greater flexibility in adapting to changing trends in consumer taste. Most orders are 6 months to a year in the pipeline. If something gets hot the stores aren’t stuck with what’s not!

These are just a few advantages that I can think of for designers to pitch when taking with buyers about the higher price points.

If you go with a contractor, you have a vast wealth of knowledge that they bring to the table. They can help perfect your designs, help with resourcing and you can go visit the factory, in most cases for a airline ticket for less then $350.00 . You have control of your product and you have legal recourse.

**The perfect example:

Years ago a product called Danskin Dancewear came on the market. The product was in such demand that the manufacture would only supply vendors who paid up front or on short net terms. They( at the time) kept inventories low and they got paid. Scarcity translates into lower volume and higher prices that can be sustained over a longer period of time.

Setting up your own shop ahhhhhh.

It deserves a post all it’s own! I’m going to tell you the basic setup need to start your own handbag factory. For less then $15,000!  Equipment needed…… everything!


Ok found the widget ! You can now sign up to be notified as to when the first “how to make a designer handbag” video tutorial will be up!

Looking forward to hearing comments. It’s the first time I’ve tried to do something of this nature, I hope you like it! Again take a minute to sign up for our announcements. Ok!