Price of nuts!

[Dennis H.]

Called a local guy who roasts bulk nuts about getting 10 lbs of roasted peanuts, was told $3.60/lb! Oouch.

Told me that this was a really bad year for the peanut crop. Has anyone else heard this?

I was going to sell maple coated peanuts for about $8 a lb and paying that much for the peanuts will cut into the profit margine a little.

[Cake O' Maple]

I had heard last fall that peanut butter was going to go sky-high...

[Russell Lampron]

Called a local guy who roasts bulk nuts about getting 10 lbs of roasted peanuts, was told $3.60/lb! Oouch.

Told me that this was a really bad year for the peanut crop. Has anyone else heard this?

I was going to sell maple coated peanuts for about $8 a lb and paying that much for the peanuts will cut into the profit margine a little.

I've been selling 4oz bags of maple coated walnuts, pecans and cashews for $5. The nuts are in the $6lb range and I use a 1/2 pint of syrup per lb. When I figure the cost of the nuts, the retail price for the syrup and the packaging it cost me about $2.75 per 4oz bag. I think you need to raise your price a little bit.

[Father & Son]

Dennis,
$10 lb is what I sell for coated peanuts for and there still is only a small profit. 1 lb of peanut at Aldi's is about $2.70, Walmart $2.90. Pint of syrup $5.00. Time and packaging?

Jim

[Russell Lampron]

Dennis,
$10 lb is what I sell for coated peanuts for and there still is only a small profit. 1 lb of peanut at Aldi's is about $2.70, Walmart $2.90. Pint of syrup $5.00. Time and packaging?

Jim

Only $5 for a pint of syrup? I figure $6.50 for a 1/2 pint when I figure the cost of the ingredients for my value added products. That's my retail price for a 1/2pt of syrup.

[Father & Son]

Russ,
You're right my pints are $10, 1/2 pints are $5. The profit is still small.

Jim

[Russell Lampron]

Russ,
You're right my pints are $10, 1/2 pints are $5. The profit is still small.

Jim

My pints are $10 as well. I do the math and try to make closer to a 100% mark up on value added products. On some things I do better than that.

[maplwrks]

At the fair we get $6 for 4oz. You better get the price up!!

[Dennis H.]

$6 for 4oz!! holycow.

I am staying with the pricing that I have for right now. If I find that they sell too fast then I may adjust the pricing.
I tend to price things from a point of view if I was buying it.

I found poly bags locally for $.095 for each bag and twist tie. I will eventually buy them thru Uline but I wanted to get a few sizes to see which ones will work for 4oz, 8oz and 1 lb. The bags thru Uline will work out to be something like $.013 for the 4oz bag and $.05 for the lb'ers.

[gmcooper]

Dennis
I have no idea where you came up with $8.00 per pound. Even the wholesale price is in the $15.00 per pound range for maple sugar coated peanuts. We get about $6.00 for 4 oz and sold over 20lb on our open house.
Have you thought about opening a gas station? I'm thinking $2.00 per gallon sounds like a fair price. LOL
Mark

[Dennis H.]

So let me lay it out how I came to that number.
$3.60 lb of peanuts. $2.10 worth of syrup, 6oz. Bag and twist tie, $.095 for a total my cost of lets say $5.80/lb.
The place where I will get the nuts is basically across the street from where I work so it will cost no additional to pick up the nuts. Right now peanuts are high in price so when they come down it will even be better.

Hey if you can get that kind of money for them go for it, all I am saying about my pricing is that I will price it to a point that i feel comfortable with. If I see that demand is higher than I can supply then a price increase may be justified.hey i
And yes if I was selling at a fair like location I probably would be able to charge more, have to cover the cost of the stand fee. But right now I am not selling at a fair so i would not good at the end of the day selling my product at an elevated price just to be where it should be.

If you want I can sell you maple coated peanuts for $8/lb, you pay shipping. I could do this all day and still make a boat load of profit over just syrup sales. Any takers?

[RustyBuckets]

I have to ask Dennis, how much syrup are you using to a pound of nuts? I think you are way under selling your product. You only are showing 2.20 cents a pound after just cost of the supplies. Where is the equipment, labor, insurance, and overhead cost in that? Dont cut your product so short.

[Dennis H.]

I use 6 oz of syrup. I set aside 1 gal to make nuts so 1 gal of syrup is $45/ that by 21 batches of nuts at 6oz/batch. works out to be right at $2.11.
I can't see charging them the cost of a 1/2pint because I feel like I would be lying to them when I am using a gal jug of syrup.

I understand what you are all telling me, I am not disagreeing with anyone of you. You charge what the market will bear. Since I will be the only person around here making and sell maple nuts I figured I had to start somewhere. Yes I could price it on the higher side and sit and wait to see if they sell but I decided that I would price them at a point I felt comfortable with and see how it goes.
I did do a little research and found several producers that had prices listed on thier websites and I am not off by much in any.

Now remember I was told that this was a terrible year for peanuts, if and when the price comes down I will be making way more per batch. The guy I getting the nuts from right now told me that a normal year peanuts are in the 1.80-1.90 range.