THE FAIR PRICE FORMULA


Why a Singular product costs what it costs – a deep dive into our pricing model.

All our products are sold without traditional retail markups, and to clarify what that means, we have made a price example with one of our most popular products: The Organic Cotton Towel 70x140 cm. 

The towels are made from 100% organic long staple cotton in 650gsm thickness by J.F Almeida in Portugal, and cost 190 SEK per towel (member price). The price includes manufacturing costs of 119 SEK (labour, r&d, labels, packaging, freight and taxes), as well as related handling, warehouse and distribution costs, transactional fees and VAT (71 SEK). 


190 SEK is the minimum amount you can pay to get a towel of this quality, anywhere, and it’s possible thanks to our unique membership based business model, where we decouple product and profit. If we were a traditional brand, we would need to charge significantly more for the towel, which shows in the regular price. 

The regular price for the exact same towel is 600 SEK, which is in line with what a towel in comparable quality will cost in traditional retail. That price includes the cost price, all associated costs plus the traditional markups. Meaning everything that needs to be added to cover expenses such as profit margin, marketing costs, future sales discounts, costs for unsold inventory, just to name a few examples.

One last thing: Our prices also shift when raw material costs change – up or down. And as our member base grows and production becomes more efficient, prices may decrease over time. The bigger we become, the better it gets, as long as inflation keeps its cool.