# HOW TO PRICE NESTED SETS

Posted by: Aldo Marukot on (09/18/2009) Tags: baskets , pricing , sets

Have you ever bought items that came as a set and wondered "How will I price out each of these?".  The obvious way is to take the total price and divide it by the quantity.  For example our Rustic Woodbox w/ Handle (Item #77515) comes in a set of 3.  Take the unit price of \$14.99 and divide it by 3 and you come up with \$5.00 cost per piece.  Easy enough right?

Well, that works great if all the sizes in the set are the same, however most likely the set will be “nested” with one being size being larger than the next.

Using the same item above (it is nested), here is what you need to do to price out the set properly by the appropriate size:

Take the number of items in the set and number them according to their size.  Smallest being "1", next in size would be "2", and so on.  Add these numbers together to get your divider.

For example:

"1" + "2" + "3" = 6

Take the total unit price and divide it by the divider to get your multiplier.

For example:

\$14.99 / 6 = \$2.50

Multiply the each number in the set to the multiplier and the result will be the cost proportional to each size in the set.

For example:

\$2.50 x 1 = \$2.50

\$2.50 x 2 = \$5.00

\$2.50 x 3 = \$7.50

(By: Misty Florez)

## JACOBSON CONTRIBUTORS

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