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A Boutique’s Guide to Hang Tag Margins
For a boutique building a private-label line, a hang tag is a small line item that still needs to earn its place in the landed cost of every unit. Getting the math right up front avoids surprises when you scale from a 500-unit test run to a 5,000-unit reorder.
Here’s the framework we recommend to retail customers pricing hang tags into their cost structure.
Start with landed cost per unit
Add your per-unit hang tag price to your existing landed cost (product + packaging + freight) before setting a retail price. At our lower price points, a kraft tag adds a fraction of a percent to most apparel and accessories landed costs — small enough that most boutiques don’t need to adjust retail pricing to absorb it.
Volume tiers change the math
Per-unit price drops meaningfully between our 500-unit minimum and a 2,500+ reorder. If you’re testing a new private-label line, order at minimum first; once you know it sells, a reorder at volume improves your margin on the same retail price.
| Order size | Relative unit price | Best use |
|---|---|---|
| 500–999 | Highest tier | First test run |
| 1,000–2,499 | Mid tier | Confirmed seller, single SKU |
| 2,500+ | Lowest tier | Multi-SKU or seasonal reorder |
Choosing for your order
If you’re running several private-label SKUs, combine their volumes into a single hang tag order using the same stock and finish — the combined quantity often crosses into a better price tier even though each individual product sells in smaller numbers.
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