The cost of clothes #2

As part of our approach to radical transparency, we lay all our cards on the table. This also applies to the pricing structure of all our garments. Why do we believe this is important? Well, if we want to re-define the relationship that people have with their garments, and move towards a more realistic value perception when it comes to clothes, then they need to understand what exactly they are paying for.


That being said, before we get into the detailed price breakdown of our bags, we think it’s a good idea to bring you up to speed with all relevant definitions:


Cost Price

Cost of the materials and labour involved.

Full Circle Margin 

The cut taken by Full Circle for business costs and profits.

Wholesale Price

How much the T-shirt is sold to our retail partners.

Wholesale Margin

The cut taken by our retail partners for business costs and profits.

VAT

Value added Tax applied to goods purchased within the EU.

Retail

How much the T-shirt costs to purchase.


CIRCULAR MESSENGER BAG COSTS

fashion transparency

FULL CIRCLE SWAP COSTS

fashion transparency

CIRCULAR MESSENGER BAG BREAKDOWN

fashion transparency

When you compare the price breakdown of our messenger bag with that of our Circular T-shirts you will notice that the information included in the breakdown is slightly different. Besides being a different type of garment with its own manufacturing processes, it’s also because we produced the bags ourselves, in our atelier here in Amsterdam. For this reason you do not see a Manufacturing Cost or Factory Margin included in the price breakdown, for example.


As always, if you have any questions regarding our pricing structure, or anything else for that matter, feel free to shoot us a message.


Love,


Team Full Circle