Essentials for small craft businesses

1

Passion and Vision

To embark on your craft business journey, first, pinpoint your creative passion. Identify the particular craft or creative niche that excites you and create a clear and inspiring vision for your business.

Grab a giant piece of paper and some pens for a planning session to outline specific craft projects and products that you want to pursue. This vision will not only help to guide your creative direction – it’ll also motivate you throughout your entrepreneurial adventure.

2

Market Research

Research is essential, especially in the craft market. Begin by scrolling online and identify your top three competitors within your chosen craft niche. Analyse their strengths and weaknesses, check out their pricing, and try to identify their customer base. To gain insights into your potential customers, you could even conduct surveys or interview potential customers to understand what they’re looking for.

Don’t forget to keep an eye on what’s trending and popular. It’s a great way to find gaps where your particular craft can shine and meet unmet demands.

3

Crafting Skills

Dedicate a bit of time each week to try and improve your craft skills. There’s a whole host of workshops and classes out there to help you discover new trends and learn new techniques.

Quality and uniqueness are often key factors in the success of craft businesses. Being at the top of your game will not only make you feel more in control of your brand, but your customers will thank you for it too.

Don’t forget, if you’re looking to improve your PR, marketing or social media skills, you can access three free seminars on these topics when you subscribe to Hobbycraft Plus.

4

Business Plan

Develop a comprehensive business plan to act as your roadmap to success. Set specific, measurable, and achievable business goals.

Create a timeline that outlines the steps needed for product development and launch. Additionally, outline your budget, including initial investment and expected revenue, to ensure your business stays financially viable.

5

Branding and Identity

Establishing a strong and memorable brand identity will help you stand out from the small business crowd. Once you’ve chosen a unique business name, be sure to register your shop and social media accounts for your future launch.

If you can, think about investing in the design of a captivating logo and cohesive branded materials, including business cards, product packaging and labels. Don’t forget, this can all be DIY too! Why not use your digital cutting machine or invest in a branded stamp to add some flair to plain packaging?

6

Product Development

Picking a few products to launch with will help make the design process simpler while also keeping your costs down as a new business. Consider creating prototypes and samples for testing and refinement before releasing products to the market.

Don’t forget to ask friends and family for feedback to make sure your product is the very best it can be!

7

Pricing Your Products

Pricing is key to a successful business. Calculate the production costs for each item, factoring in expenses like materials and labour. You can also research competitors' prices to understand better understand the market. You will then be able to set competitive yet profitable prices that reflect your craftsmanship and production costs while remaining appealing to your target market.

8

Making Sales and Marketing

Marketing is a great way to build your customer base and it doesn't have to cost too much either. Social media platforms, such as Instagram, Facebook and TikTok are great ways to connect with your target audience. You’ll be able to regularly update them with your craft projects, behind-the-scenes content and product launches.

Explore both online marketplaces like Folksy or Etsy and local craft fairs to diversify your sales channels and maximise exposure.