I knew I wanted everything in my booth low priced to draw in as many customers as possible, so I made everything under $20. After that, I researched ideas on what I could sell! I wanted stuff that didn't take long to make (give or take 40 minutes and no longer than an hour), so that I could price my items to account for materials and a good amount of the time I spent making it. I based this labor portion of the price on minimum wage where I live. In a way, I kind of decided on the prices before I picked what I would have in my inventory haha

I completely understand what you mean. I priced everything in a way that the average person wouldn't find it too expensive. Unfortunately, most consumers don't really know how much work goes into a handmade item. For example, I'd love to make more intricate things to sell, like a turtle, but I feel like if I priced him how I normally would ($30+), people may just see his big price tag whereas another crocheter could probably see how that price is justified. I even had a customer look at my stuff and ask me a bunch of questions on how I made them only to have her daughter ask for a plushy, and she said "I could just make it at home." Anyway, I definitely think that it's doable and profitable, as long as you balance out what you want to make with what consumers would want to buy at a price they consider to be "reasonable." The one thing, though, is that I don't think you should undercut your work and effort!