Useful journey for me as well, and illustrated the minefield of pitching at the right price to the right market.
Yes, we work in a niche market and ought not to stoop to compete with supermarket prices. The other part of the equation is that beekeepers often complain that they can't raise the price in their area, as if it is set in stone. Likely that an imaginary fear of offending the customer or of having stock sitting in the garage leads to inertia, but if they put it up 50p every couple of years no-one would notice; in fact, it would be expected.
I heard recently of one area where they find it impossible to raise prices: local honey outlets near Stanford-le-Hope are apparently dominated by one beekeeper who produces a lot and sells widely at 1967 prices. The others despair; I suggested they buy as much as they could of his stock and sell it properly, but of course, they would then have to re-train the retailers.
Not if you want a regular increase on your return because UK bulk prices are linked to global prices, which are determined by big players and have hovered around £3.50 for a long while.
In other words, you have a Roll-Royce but aim to sell it in a yard full of knackered Ford Mondeos. Why bother? I recall a
talk by Michael Palmer (at1.50) in which he decided he'd had enough, and stopped selling honey to packers because his hard work would end up diluted with corn syrup and put into junk sauces. Instead he sold it to other beekeepers, who would do the work to bottle it and make a margin.