PRICE TRANSPARENCY REPORT
We want you to know the complete story behind our garments and why the prices are the way they are. We want you to know who we support within the value chain of our production process and the ideals and stories that are behind our one of a kind magical pieces. Without knowing the story behind them, our coats and dresses can be considered quite expensive which is why we chose to break down the final retail price by every single aspect that goes into it.
The true costs of any fashion garment can be broken down into Labour, Materials, Trimmings and Transport plus the cost that you don’t see. The environmental costs that are embedded into everything you buy. There are many factors that can affect the cost of each of these production aspects.
At Zazi these three cost factors are important to be considered for our pricing:
Materials = Up-Cycling
Our clothes at ZAZI are made from very special raw materials which account for a big percentage of the total cost of each item. As our primary focus is on working with up-cycled textiles, as we believe that there is so much beauty already in the world.
Who Makes Our Clothes?
All ZAZI garments are produced by one of our two partner charities.
The Saheli Women, an ethical fashion social enterprise run by the nonprofit organisation IPHD India. Or skilled artisans in Afghanistan that are working from their family homes.
ZAZI produces limited amounts of dresses and most of our coats are unique one-of-a-kind designs. This means costs for shipping cannot be distributed among huge numbers of garments and is therefore exponentially higher than for brands that produce much larger quantities.
After explaining the major factors that contribute to the costs of production at Zazi Vintage, let’s have a look at the cost break down of one of our fun coats as an example.
The Suzani’s alone cost 70,00€. Add 45,00€ for trimmings and labels and we have a total of 115,00€ in material costs.
Labor of Love
The Afghan Artisans get 50,00€ for sewing/completing one of our Suzani Coats.
The costs for the shipping of one coat from Afghanistan to Germany is 20,00€. We are looking into ways to compensate our CO2 Emissions as we are aware that one package of 7 coats from Kabul to Berlin equals 2,628 kg CO.
Add all of this up and you get a total of 185,00€ for one Suzani Coat, plus 30% for customs.
Packaging with Value
You are getting your coat wrapped in our dress bag 3€ that are handmade from up-cycled fabric and hand embroidered by the Saheli women and then put in a parcel 3.50€ that it made from 100% recycled paper. We are very proud to have the goal by March 2019 to be a 100% plastic free production, because we still use shipping bags with plastic filling that will be exchanged by then.
We end up with a price of 247,00€ before making any profit.
Zazi Vintage Working Costs
Naturally, keeping a company like ZAZI running means that we have nonstop overhead costs. We have to pay for our projects in Berlin, India, Afghanistan and worldwide. This overhead results in a mark-up of 1.9x on each coat to cover our expenses, which leaves us with a total of 469,30€.
Coats with a Mission
We believe that every item we produce needs to contribute more to the world than just being beautiful and well produced. ZAZI is committed to the ideal of sustainability, and we want to contribute to the 2030 sustainable development goals set by the United Nations. As part of this, we decided to donate 70€ for each coat to the girls education project of our partner NGO in India. This donation includes facilitating the educational costs of one girl in rural India for the course of a school year. This commitment results in one of our coats now costing 539,30€.
Mark it Up
Zazi Vintage is sold through retail partners around the world who also have to cover their expenses and expect a price guarantee from our side. This means another mark-up of 2.7x which leaves us with a price of 1.461,50€.
Retail price VAT included
Because our company is based in Berlin, Germany we have to add the 19% Vat as the last step. So that we get a total of 1.800€ as our final retail price.
We hope you love and cherish your one-of-a-kind ZAZI Vintage coat and understand all of the heart and thought we put into making this possible.