At LOTTA LUDWIGSON, we believe in transparency and honesty when it comes to our pricing. As a brand, we recognize that our customers value transparency and want to know the rationale behind our pricing. To meet this need, we've developed a source that delves into our price philosophy and explains the factors that influence the prices of our products. To provide even greater transparency on pricing, we've also included a detailed breakdown of our costs on each product page.
Include all our fabrics, trims and components such as threads, size, care and main labels, buttons, shoulder pads, seam tapes…
Includes costs for labor in the sewing factories, sampling and sourcing
Include all costs for transportation along the supply chain, packaging and the final shipping fee to our customers
Includes the sales tax to the relevant authorities of the country where the product is being shipped to. For our cost breakdown, we calculate with a German tax rate of 19%.
By utilizing our markup, we are able to cover our business expenditures and allocate funds towards the development of upcoming products. Our company's costs compromise all costs for office rent, salaries, marketing, website and IT services, payment transactions, sustainable bank account, certification process, insurance, tax & legal adviser, photographers and models. A portion of the company's expenses are allocated towards investing in upcoming products, as many of the production expenses need to be paid several months before the finished products are sold to customers. Instead of distributing profits to ourselves, we reinvest them entirely in developing products for a circular and sustainable future.
For every product purchased we want to donate money to different organizations fostering more equality, justice and opportunities for girls and women. As we want to donate to different charities, we are always on the hunt for charities that are in need of support. If you have any recommendations, feel free to reach out to us!